AirMedia to Exclusively Operate Digital Frames and Extend Digital TV Screen Contract in Shanghai's Airports
August 26 2009 - 11:40PM
PR Newswire (US)
AirMedia's Digital Media Network to Cover All Terminals in
Shanghai's Two Airports BEIJING, Aug. 26
/PRNewswire-Asia-FirstCall/ -- AirMedia Group Inc. (NASDAQ:AMCN), a
leading operator of out-of-home advertising platforms in China
targeting mid-to-high-end consumers, today announced that it
entered into a concession rights contract with JCDecaux Momentum
Shanghai Airport Advertising Co., Ltd. under which AirMedia will
exclusively operate digital TV screens and digital frames in
Shanghai Pudong International Airport and Hongqiao International
Airport from September 1, 2009 to February 15, 2012. The contract
grants AirMedia concession rights to operate digital frames at both
terminals of Pudong airport and the existing terminal of Hongqiao
airport starting from September 1, 2009. It also grants AirMedia
concession rights to operate digital frames at Terminal 2 of
Hongqiao airport which is under construction and scheduled to
commence operations before the opening of the World Expo 2010 in
Shanghai. With this contract, AirMedia's digital frame network has
expanded to 30 airports including all of the 15 largest airports in
China. The expiration date of AirMedia's existing concession rights
to operate digital TV screens at Terminal 1 of Pudong airport and
Terminal 1 of Hongqiao airport has been extended from September 19,
2010 to February 15, 2012. The impact of concession fees under the
above concession rights contract has been included in AirMedia's
guidance of total concession fees in the third quarter and the
fourth quarter of 2009. 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 TV screens in 41
major airports, including all of the 30 largest airports in China.
AirMedia also operates digital frames in 30 major airports. In
addition, AirMedia sells advertisements on the routes operated by
12 airlines, including the three largest airlines in China. In
select major airports, AirMedia also operates traditional media
platforms, such as billboards, light boxes, and other digital
media, such as mega LED screens. In addition, AirMedia has obtained
exclusive contractual concession rights to develop and operate
outdoor advertising platforms at Sinopec's service stations located
throughout China until the end of 2014. AirMedia plans to install
its advertising platforms in at least 3,500 service stations in
major cities throughout China by the end of 2011, and in at least
8,000 service stations by the end of 2014. For more information
about AirMedia, please visit http://www.airmedia.net.cn/ . About
JCDecaux Momentum Shanghai Airport Advertising Co., Ltd. JCDecaux
Momentum Shanghai Airport Advertising Co., Ltd. is a joint venture
established in 2005 by Shanghai International Airport, JCDecaux
Pearl & Dean Ltd., and Shanghai Momentum Media &
Advertising Co., Ltd. to operate and develop all the indoor and
outdoor advertising media in both airports in Shanghai Pudong
International Airport and Hongqiao International Airport. 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 Group Inc.'s strategic and
operational plans, contain forward-looking statements. AirMedia may
also make written or oral forward- looking statements in its
periodic reports to the U.S. Securities and Exchange Commission on
Forms 20-F and 6-K, etc., 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 substantially all of our revenues
from the provision of air travel advertising services, and recent
slowdown in the air travel advertising industry in China may
materially and adversely affect our revenues and results of
operation; our strategy of expanding our advertising network by
expanding into traditional media and building new media platforms
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 our customers reduce their
advertising spending 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; 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; AirMedia's 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 law. For more information,
please contact: Investor Contact: Raymond Huang Investor Relations
Director AirMedia Group, Inc. Tel: +86-10-8460-8678 Email: Cynthia
He Brunswick Group Tel: +86-10-6566-2256 Email: DATASOURCE:
AirMedia Group, Inc. CONTACT: Investor Contact: Raymond Huang,
Investor Relations Director of AirMedia Group, Inc.,
+86-10-8460-8678, or ; Cynthia He of Brunswick Group,
+86-10-6566-2256, or
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