China New Media Announces a RMB 4 Million Contract with Casio

DALIAN, China, June 22, 2011 /PRNewswire-Asia/ -- China New Media Corp. (OTCBB: CMDI) (the "Company"), China's fast-growing advertising media company with current outdoor media network located in Dalian, Shenyang, Tianjin and Shanghai, today announced a contract with Casio Group to design, build and maintain an outdoor creative media display for the Company. The total value of the contract is RMB 4 million in revenue over two years beginning in June 2011.

(Photo: http://photos.prnewswire.com/prnh/20110622/CN24349 )

Located in the pedestrian zone of Qingniwaqiao, Dalian, China, China New Media and Casio have collaborated to design and manufacture a unique and innovative advertising landmark promoting Casio's brand and market expansion in the city. China New Media has not incurred any of the initial capital expenditure for the display, as it was paid for by Casio, and will only be responsible for maintenance during the remaining life of the 2 year contract. The annual revenue of RMB 2 million will be paid out in two installments, with the first payment having been collected now that the display has been installed. This unique working relationship marks the second successful partnership after completing a similar creative outdoor advertising campaign for IKEA in which China New Media designed and manufactured a replica living room furniture display within a bus shelter replacing a traditional paper advertisement.  

"Since the inception of our Company it has been our vision to offer our clients a strong foundation of diversified advertising platforms and have the ability to work in partnership creatively on new outdoor advertisements as we have done with IKEA and now Casio," stated Mr. James Wang, Chairman and CEO of China New Media. "Our ability to successfully launch and manage such campaigns apart from our traditional advertising platforms differentiates ourselves from our competitors. We look forward to exploring other creative concepts, providing our clients with better service and ultimately creating greater opportunities to increase the awareness of client products, services and brands."

About China New Media Corp.

Founded in September 2000, Dalian Vastitude Media Group Co., Ltd., now known as China New Media Corp., is headquartered in Dalian, the commercial center of Northeastern China. The company owns and operates the city's largest outdoor media network encompassing over 600 bus shelters furnished with billboards and displays; 130 taxi stops with displays; and 13 large-size billboards, including 3 large-size LED displays at major traffic conjunctions. The company also furnishes more than 400 buses with advertising posters and 28 metro-trains throughout Dalian Metro Lines. China New Media provides comprehensive adverting services from art design to ad publishing, from daily maintenance to technical upgrading. Launched in Dalian in 2009, China New Media's proprietary LED multimedia display network, City Navigator®, is one of the country's first web-based outdoor advertising networks.

Forward-Looking Statements

This press release may contain certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact included herein are "forward-looking statements", including statements regarding the Company's ability to meet its obligations under its various contracts; the timeliness of payments and other economic benefits the Company expects to receive under such contracts; and the Company's ability to maintain its customer relationships and to maintain its ability to pursue its commercial objectives. In addition, the Company's operations are conducted in the PRC and, accordingly, are subject to special considerations and significant risks not typically associated with companies in North America and Western Europe such as risks associated with, among others, the political, economic and legal environment and foreign currency exchange. The Company's results may be adversely affected by changes in the political and social conditions in the PRC and by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion, remittances abroad, and rates and methods of taxation. These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involve known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website at http://www.sec.gov. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.

Company Contact:

Rita Jiang
Executive Vice President of Finance
646-691-5047
[email protected]
www.gywj.cn

Investor Contact:

HSC Global, an affiliate of HC International, Inc.
Alan Sheinwald, President
(914) 669-8885
[email protected]
www.HSCGlobal.net

SOURCE China New Media Corp.