Network CN Wins Bid for Over 950 Advertising Panels in Qingdao
NEW YORK, December 6, 2007 (PR Newswire) — Network CN Inc. (OTC Bulletin Board: NWCN), a Chinese media and travel network company headquartered in Hong Kong, today announced that it has secured the operating and advertising rights for an extensive network of outdoor advertising panels in the 2008 Olympics city of Qingdao.
A Network CN subsidiary, Shanghai Quo Advertising Company Limited (Quo Advertising), has secured the rights to operate a network of panels comprised of two mega-size LED billboards, one mega-size roller-sheet billboard and 150 roadside LED panels. Quo Advertising has also secured the rights to operate up to 800 road signage light boxes, which are subject to further governmental approval.
Qingdao, with a population of over 7 million, is home to dozens of major financial institutions and features one of China’s busiest seaports, a naval base and a large industrial center. It is the site of the Tsingtao Brewery and headquarters of Haier, one of the world’s largest electrical appliance manufacturers. The city’s GDP, among the highest per capita in China, grows at a 14% annual rate.
The first mega-size LED billboard is at the intersection of Fuzhou Road and Donghai Road, a harbor-side street of shopping malls and financial institutions. This 102-square-meter billboard is located 100 meters from the 2008 Olympic Games site for sailing.
The second mega-size LED billboard and the mega-size roller-sheet billboard, measuring 96 square meters and 100 square meters respectively, are located at the intersection of Xianggang (Hong Kong) Road, which has been designated “Finance Road,” and Nanjing Road, one of the city’s busiest thoroughfares. This is in Qingdao’s central business district among shopping malls and financial office complexes.
These mega-size properties were previously installed and are in full operation, with no installation investments required of Network CN. The more numerous, smaller LED panels and light boxes covered by the agreement will be installed using funds from the Company’s recently announced $50 million financing agreement with Och-Ziff Capital Management Group.
“We have conducted a detailed study of Qingdao’s environment and city plan, including its market characteristics, which support very favorable pricing, and have specifically analyzed the locations of the LED panels covered under this agreement. We believe that this Qingdao project has the strong potential not only to profit us financially but also to add qualitative value to Network CN’s nationwide media network,” commented Godfrey Hui, the Company’s Chief Executive Officer.
“The potential advertising market is large and vibrant in Qingdao, the wealthiest and most productive city in the Shandong Peninsular region,” Mr. Hui continued. “In addition, Qingdao is one of the 2008 Olympic cites, giving our advertisers exposure to an international audience. This agreement expands our media network within five major Chinese cities and positions us more strongly than ever to serve as the media partner of choice for top-tier advertisers.”
Please refer to Network CN’s website (www.ncnmedia.com) for additional details.
About Network CN Inc.
Headquartered in Hong Kong, Network CN Inc.’s vision is to build a nationwide network in China that serves the needs of a variety of customers. The Company operates a Media Network, a Hotel Network and an e-Network. On the media side, Network CN is establishing a multi-media, multi-application advertising network in the key cities of China, focusing on outdoor advertising media. As of September 30, 2007, the Company had obtained rights to install and operate 653 roadside digital video panels, 6 mega-size digital video billboards and 24 rolling light boxes in the PRC. On the hospitality and hotel management side, Network CN is building a travel service platform to link up under one network, all the hotel properties under our management, whether owned by the Company or operated under lease or joint venture agreements. In addition, the Company is actively pursuing the development of an e-Network via the Internet.
This press release includes statements that may constitute “forward- looking” statements, usually containing the word “believe”, “estimate”, “project”, “expect”, “plan”, “anticipate” or similar expressions. Forward- looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, risks related to financing, risks attending the build-out of the Company’s media network, acceptance of the Company’s products and services in the marketplace, competitive factors and changes in regulatory environments. These and other risks relating to Network CN Inc. business are set forth in the Company’s Annual Report on Form 10-QSB filed with the Securities and Exchange Commission on November 9, 2007, and other reports filed from time to time with the Securities and Exchange Commission. By making these forward- looking statements, Network CN Inc. disclaims any obligation to update these statements for revisions or changes after the date of this release.
Source: Network CN Inc.
Stanley Chu, General Manager
Network CN Inc.
Sean Collins, Senior Partner