China Media 1 Corp. (BB: CMDA)
Major PR issued at 9:00 am EST: China Media1 Signs US$13 Million Advertising Contract; Company Sells 70% of its Indoor Advertising Space
WOW! China Media 1 just released news that help support the projections we have been talking about for the last two months. Back in March, CMDA signed a deal that represented sales of $6.25 million. This represented a chuck of the projected $27 in revenue that was expected to come in this year to support the forecast of .27 in earnings per share. Now CMDA has just another $13 million in revenues. This is huge!
CMDA was only trading this morning for about .40 per share, and it is expected to earn .27 over the next year. It is rare that you can find a stock trading at less than 2 times forecasted earnings in a lifetime. This stock appears particularly attractive since the airport advertising contract is good for 20 years and revenues are expected to grow dramatically as the airport grows. There is still no reason we think CMDA should trade below $2.00 per share, and we believe it really should be many times that level.
IRVINE, Calif., Jun 14, 2005 (BUSINESS WIRE) -- China Media1 Corp., is pleased to announce that it has signed a 1-year advertising contract with Chi Shang Ling Yue Advertising Company Ltd. of Guangzhou, China for approximately US$13 million (RMB 107,520,000). Under terms of the contract, Chi Shang has agreed to purchase 70 indoor large size (1.5 m x 4 m) 3 poster scrolling light boxes for their clients at the Guangzhou New Baiyun Airport. The locations within the Airport are as follows:
Terminal Main Departure Hall: 20 Area A Corridor: 20
Area B Corridor: 20 Area C Corridor: 10
This contract runs from September 1, 2005 to August 31, 2006. As previously announced, China Media1 had been awarded a total of 100 indoor locations for installation of scrolling light boxes. Our agent, Chuangrun Advertising will retain the remaining 30 light boxes for their own clientele.
Hanxiong (Adrian) Cai, China Media1 President & CEO stated, "Chi Shang is a first-rate advertising company in the South China region. We are pleased that they have chosen both our indoor and outdoor locations for their clients. Their commitment to purchase 70% of our indoor advertising space at the airport is overwhelming evidence in support of the positive direction of our company." Chi Shang Ling Yue Advertising Company is a leading advertising company based in Southern China that boasts an impressive client list of blue chip clients. Some of which include: China Mobile, China Unicom, the Bank of Agriculture, the Bank of Communications, Ping An Life Insurance, Guangzhou Life Insurance and Zhujiang Beer.
About China Media1 Corp.:
China Media1 Corp., headquartered in Irvine, California, is an owner and operator of premier Chinese advertising media assets. The Company owns and operates specialty media assets throughout Southern China that include physical advertising space and advertising contracts with top-tier brand names and Multi-National corporations. China Media1 has focused on providing its clients superior advertising locations based on viewership, exclusivity and uniqueness through the use of its illuminated scrolling poster signs throughout its locations. The Company advertising locations include the Guangzhou New Baiyun International Airport and the Guangzhou MTR (12 Subway Stations). The Company's website is
http://www.chinamedia1corp.com.
Forward Looking Statements:
Any forward-looking statement in this press release is made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties including, but not limited to, economic and political factors, technological developments, regulatory matters and increased competition. The Company disclaims any obligation to update any such factors or to publicly announce results of any revisions to the forward-looking statements contained herein to reflect future events or developments.
Company Contact Information:
China Media 1 Corp.
Investor Relations 1(866)889-4905
Email: investor@chinamedia1corp.com
Website:
http://www.ChinaMedia1Corp.com
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