BEIJING, April 18 /Xinhua-PRNewswire/ -- VisionChina Media Inc. (Nasdaq: VISN), one of China’s largest out-of home digital television advertising networks on mass transportation systems, today announced the signing of an exclusive agency agreement with Guangzhou Metro TV Media Company (GMTM) to operate a mobile digital television advertising network on the subway system in the city of Guangzhou.
Signed on April 18th, 2008, the three-year agreement grants VisionChina Media the exclusive right to operate on all subways in the city of Guangzhou as well as on the platforms that service the subway system. So far, 2,700 screens have been installed and another 500 are scheduled to be installed by the end of 2008. These new screens will complement the five large LED screens that VisionChina already operates at the major intersection platforms of the Guangzhou subway system. The new contract also allows VisionChina to expand its placement of LED screens onto new platforms around the city as they open.
Guangzhou, the capital city of Guangdong province has 10 million residents, of which 1.6 million ride the subway each day. Seventy-five percent of subway platforms and stations are located in major business centers and densely populated areas of the city, allowing companies who advertise on VisionChina Media’s network to reach target audiences.
“This is an exciting development for VisionChina,” said Mr. Limin Li, VisionChina Media’s chairman and chief executive officer. “Guangzhou is a major metropolitan center in China and is home to some of the most affluent communities in the country. In fact, Guangzhou is the third largest city in China in terms of GDP. Our ability to successfully negotiate favorable terms with GMTM to expand our network across their subway system is a major milestone for VisionChina Media. It is one more step toward becoming an alternative to traditional television advertising in China.”
Ms. Dina Liu, VisionChina Media’s chief financial officer commented, “Our development and operations teams have been working hard to meet their targets and enable VisionChina to execute on strategy. We plan to expand our network to 20 cities by the end of 2008 and expanding the penetration of our services to include the subways of Guangzhou and to increase the number of subway platforms we serve in that city significantly increases our revenue capabilities in southern China.”
According to official national statistical data Guangzhou’s GDP reached RMB 606.8 billion in 2006. Guangzhou will host the Asian Games in 2010, a major sporting event with 45 participating nations expected to draw tourists from across Asia.
About VisionChina Media Inc.
VisionChina operates an out-of-home advertising network on mass transportation systems, including buses and subways that reach approximately 26 million viewers each day in China, according to CTR Market Research. As of December 31, 2007, VisionChina’s advertising network included over 41,400 mobile digital displays on mass transportation systems in 15 of China’s most affluent cities, including Beijing, Guangzhou and Shenzhen. VisionChina has the unique ability to deliver real-time, location-specific broadcasting, including news, stock quotes, weather and traffic reports and other entertainment programming. For more information, please visit http://www.visionchina.cn .
For investor and media inquiries, please contact:
In China:
Mr. AJ Wang
Senior IR Manager, VisionChina Media Inc.
Tel: +86-10-8418-6339
Email: aj.wang@visionchina.cn
Mrs. Helen Plummer
Ogilvy Public Relations Worldwide (Beijing)
Tel: +86-10-8520-3090
Email: helen.plummer@ogilvy.com
In the United States:
Mr. Jeremy Bridgman
Ogilvy Public Relations Worldwide (New York)
Tel: +1-212-880-5363
Email: jeremy.bridgman@ogilvypr.com
