BEIJING, March 24, 2011 /PRNewswire-Asia-FirstCall/ --
AirMedia Group Inc. (Nasdaq: AMCN) ("AirMedia" or the "Company"), a
leading operator of out-of-home advertising platforms in
China targeting mid-to-high-end
consumers, today announced that its board of directors has approved
a share repurchase program up to US$20
million.
AirMedia's board of directors has authorized, but not obligated,
AirMedia to repurchase up to US$20
million worth of its own outstanding American Depositary
Shares ("ADSs") within two years from March
21, 2011. The repurchases will be made on the open market at
prevailing market prices pursuant to a Rule 10b5-1 plan, in
negotiated transactions off the market, in block trades or
otherwise from time to time. The timing and extent of any purchases
will depend upon market conditions, the trading price of ADSs and
other factors, and be subject to the restrictions relating to
volume, price and timing in accordance with applicable laws.
AirMedia expects to implement this share repurchase program in a
manner consistent with market condition and the interest of its
shareholders. AirMedia's board of directors will review the share
repurchase program periodically, and may authorize adjustment of
its terms and size accordingly. AirMedia plans to fund repurchases
made under this program from its available cash balance.
"The board's decision to buy back AirMedia's ADSs reflects our
confidence about the Company's long-term growth prospects. With the
turnaround of our business, we have continued generating positive
operating cash flow in excess of capital expenditures in the past
three quarters. We will prudently deploy our increased cash balance
in the best interest of our shareholders to enhance shareholder
value," Herman Man Guo, AirMedia's
Chairman and Chief Executive Officer commented.
About AirMedia Group Inc.
AirMedia Group Inc. (Nasdaq: AMCN) is a leading operator of
out-of-home advertising platforms in China targeting mid-to-high-end consumers.
AirMedia operates the largest digital media network in China dedicated to air travel advertising.
AirMedia operates digital frames in 34 major airports, including
the 15 largest airports in China.
AirMedia also operates digital TV screens in 38 major airports,
including 26 out of the 30 largest airports in China. In addition, AirMedia sells
advertisements on the routes operated by nine airlines, including
the four largest airlines in China. In selected major airports, AirMedia
also operates traditional media platforms, such as billboards and
light boxes, and other digital media, such as mega LED screens.
In addition, AirMedia has obtained exclusive contractual
concession rights until the end of 2014 to develop and operate
outdoor advertising platforms at Sinopec's service stations located
throughout China.
For more information about AirMedia, please visit
http://www.airmedia.net.cn.
Safe Harbor Statement
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expect," "anticipate," "future," "intend," "plan,"
"believe," "estimate," "confident" and similar statements. Among
other things, the quotations from management in this announcement,
as well as AirMedia's strategic and operational plans, contain
forward-looking statements. AirMedia may also make written or oral
forward-looking statements in its reports to the U.S. Securities
and Exchange Commission, in its annual report to shareholders, in
press releases and other written materials and in oral statements
made by its officers, directors or employees to third parties.
Statements that are not historical facts, including statements
about AirMedia's beliefs and expectations, are forward-looking
statements. Forward-looking statements involve inherent risks and
uncertainties. A number of important factors could cause actual
results to differ materially from those contained in any
forward-looking statement. Potential risks and uncertainties
include, but are not limited to: if advertisers or the viewing
public do not accept, or lose interest in, our air travel
advertising network, we may be unable to generate sufficient cash
flow from our operating activities and our prospects and results of
operations could be negatively affected; we derive most of our
revenues from the provision of air travel advertising services, and
any slowdown in the air travel advertising industry in China may materially and adversely affect our
revenues and results of operations; our strategy of expanding our
advertising network by building new air travel media platforms and
expanding into traditional media in airports may not succeed, and
our failure to do so could materially reduce the attractiveness of
our network and harm our business, reputation and results of
operations; if we do not succeed in our expansion into gas station
and other outdoor media advertising, our future results of
operations and growth prospects may be materially and adversely
affected; if our customers reduce their advertising spending or are
unable to pay us in full, in part or at all for a period of time
due to an economic downturn in China and/or elsewhere or for any other
reason, our revenues and results of operations may be materially
and adversely affected; we face risks related to health epidemics,
which could materially and adversely affect air travel and result
in reduced demand for our advertising services or disrupt our
operations; if we are unable to retain existing concession rights
contracts or obtain new concession rights contracts on commercially
advantageous terms that allow us to operate our advertising
platforms, we may be unable to maintain or expand our network
coverage and our business and prospects may be harmed; a
significant portion of our revenues has been derived from the five
largest airports and three largest airlines in China, and if any of these airports or
airlines experiences a material business disruption, our ability to
generate revenues and our results of operations would be materially
and adversely affected; our limited operating history makes it
difficult to evaluate our future prospects and results of
operations; and other risks outlined in AirMedia's filings with the
U.S. Securities and Exchange Commission. AirMedia does not
undertake any obligation to update any forward-looking statement,
except as required under applicable laws.
Investor Contact:
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Raymond Huang
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Senior Director of Investor
Relations
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AirMedia Group Inc.
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Tel: +86-10-8460-8678
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Email:
ir@airmedia.net.cn
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Caroline Straathof
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IR Inside
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Tel: +31-6-54624301
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Email:
info@irinside.com
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SOURCE AirMedia Group Inc.