China MediaExpress Holdings Inc. (“CME”), the largest television advertising operator on inter-city and airport express buses in China, yesterday announced the signing of three new long-term agreements with unnamed media companies, which will add a total of 774 express buses to its network.
“These new contracts have further expanded our airport express bus network which now includes eight of China’s largest airports in terms of passengers. … In addition, for the inter-city bus market, we have increased our presence in the province of Henan. We entered the province in September 2010 with an agreement for 986 inter-city buses. With this agreement and one in November for 635 inter-city buses, our network in Henan province encompasses more than 2,200 inter-city buses,” CME founder and CEO Zheng Cheng stated in the press release.
CME signed an agreement with a media company to purchase exclusive rights to provide entertainment programming and paid advertising on 623 inter-city express buses in the Henan province. The five-year agreement calls for CME to pay the media company a one-time fee to acquire the operating rights, as well as pay a fixed monthly concession fee to the bus operator with an annual increment of 15%.
The second agreement is with a media company in which CME will purchase the exclusive rights to provide entertainment programming and paid advertising on 101 airport buses in the Chengdu Shuangliu International Airport in the Sichuan Province. Per the terms of the four-year contract, CME will pay a one-time fee for the acquisition of the operating rights in addition to a fixed monthly concession fee with an annual increment of 10% to 30%.
The third agreement, also with another media company, allows for CME to purchase exclusive rights to provide entertainment programming and paid advertising on 50 airport buses at the Shijiazhuang Zhengding International Airport. Per the three-year project, CME will pay the company a one-time acquisition fee in addition to a fixed monthly concession fee with an annual increment of 15%.
For more information visit: www.ccme.tv