• Male says MTA win “once in a lifetime opportunity”

    Here are the details of the webcast and powerpoint in which Outfront announced the MTA contract win.

    Outfront CEO Jeremy Male began the call with an ebullient statement: “We’re very excited to be sharing this news with you today.  It’s truly an extraordinary opportunity and one that’s been a long time coming…With this announcement we are embarking on a total transformation of the world’s largest transport systems advertising and communications platform.  This is an immensely important win for Outfront…This is a once in a lifetime opportunity.”

    The contract involves an $800 million capital investment to replace 54,140 displays on MTA subways and railroads:

    And now the financial details.  CFO Donald Shassian called this “a balanced partnership”:

    Insider’s take:  15 years is a win.  Most transit contracts are much shorter.  The 55% revenue share is also down from the existing 67% revenue share with MTA.  Outfront does not expect the % revenue share to exceed the existing % revenue share through the life of the contract.   The longer term and reduced revenue share allow Outfront to recoup upfront capital costs.

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