Focus Media Has Signed Eight New Regional Distributors in China
Focus Media Has Signed Eight New Regional Distributors in China
SHANGHAI, China, July 25 /Xinhua-PRNewswire/ -- Focus Media Holding Limited (NASDAQ:FMCN), the operator of the largest out-of-home advertising network in China using audiovisual television displays based on the number of locations and number of flat-panel television displays in its network, today announced that it has signed contractual agreements for regional distributions with 8 local companies in cities, including Zhuzhou, Hu'e Haote, Baotou, Lasa, Jiangmen, Bingzhou, Taizhou and Jiujiang, to develop local commercial location networks. After these agreements, Focus Media has contracted with a total number of 30 regional distributors and Focus Media's commercial location network now covers 52 cities throughout China.
Under these agreements, Focus Media is expected to provide its operating expertise to these companies in exchange for their acting as regional distributors of its advertising services. Focus Media will sell flat-panel displays to the regional distributors, who are responsible for developing and maintaining an advertising network in office buildings and other commercial locations in the city where they operate. Focus Media will also grant the regional distributors the right to use the ''Focus Media'' brand name and logo. Our regional distributors have the right to sell seven minutes of the nine-minute cycle, while we retain the right to sell two minutes out of the nine-minute cycle on the local commercial location network.
''I am pleased that our business model continues to attract local partners,'' said Jason Jiang, Chief Executive Officer of Focus Media. ''Through the new regional distributor networks, we will be able to provide additional nation-wide coverage to our advertising clients.''
Forward-Looking Statements
This press release includes statements that may constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. This information may involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Although Focus Media believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected.
About Focus Media
Focus Media operates the largest out-of-home advertising network in China using audiovisual television displays based on the number of locations and number of flat-panel television displays in its network. By the end of March 2005, Focus Media has a presence in more than 10,000 commercial locations and over 400 retail stores in 44 cities throughout China. Since it commenced commercial operations in May 2003, Focus Media has placed 21,021 flat-panel television displays in high traffic areas, such as elevator lobbies of commercial buildings, retail chain stores, beauty parlors, karaoke parlors and golf country clubs as of March 31, 2005. For more information about Focus Media, please visit our website ir.focusmedia.cn .
Source: Focus Media Holding Ltd.
CONTACT: Investor and Media -- Jie Chen, Investor Relations Manager of
Focus Media Holding Ltd., +86-21-3212-4661 x6607, or ir@focusmedia.cn
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