The present invention relates to a communication system having a central station and a plurality of outstations. The central station is configured to execute a compensation procedure for compensating for degradation of data from the outstations, the compensation procedure having a plurality of adjustable characteristics, which characteristics are governed by a parameter set. The central station stores a respective parameter set in respect of each outstation; and, for each outstation, applies the compensation algorithm to data from that outstation using the parameter set associated with that outstation. In an initialization phase, the central station tests a plurality of starting parameter sets on data from a given outstation and selects the set providing the best compensation. The selected set is stored for subsequent compensation of data from that outstation.