JCDecaux SA (Euronext: DEC), the world number one in street furniture advertising and the largest outdoor group in Europe, announced today that it has won three new street furniture contracts for the cities of Naples in Italy, Leicester in the UK and Cordoba in Spain. The three contracts are for a total of 2,400 advertising panels and are forecast to generate combined advertising revenues of €138 million. IGPDecaux, Italy’s largest outdoor advertising company, has won a 15 year contract with the city of Naples, the third largest city in Italy with a population of 1.1 million. The bus shelter contract covers 1,000 advertising panels and is forecast to generate advertising revenues of € 46 million. JCDecaux UK will provide the city of Leicester, the 12th largest city in the UK with a population of 390,000, with bus shelters and street furniture carrying public information. The 15 year contract covers 500 advertising panels and is forecast to generate advertising revenues of €28 million.
In Spain, JCDecaux has signed an 18 year contract with the city of Cordoba, the country’s 14th largest city with a population of 320,000. The contract for bus shelters and street furniture carrying public information covers 900 advertising panels and is forecast to generate advertising revenues of €64 million.
Commenting on the new contracts wins, Jean-Charles Decaux, Chairman of the executive board and Co-CEO of JCDecaux said: “Winning the contracts for Naples, Leicester and Cordoba confirms the strength of our street furniture offer as well as our ability to grow this business organically. The street furniture business continues to outperform the advertising market as a whole and these latest contract wins reinforce our position as the world leader in this market. They also extend our network in Western Europe, where JCDecaux is now present in 34 of the 50 largest cities.
“The decision of the city of Naples to award IGPDecaux the contract to install and operate its bus shelters is a major step in the development of the Italian street furniture market; a young market with good growth potential.
“Winning the contract for Leicester gives JCDecaux a presence in 9 of the 15 largest cities in the UK, where we continue to take market share against our major competitors. With the major bus shelter contracts of Birmingham and London, currently managed by another operator, expected to be put up for tender next year, we have the opportunity to become the UK’s market leader in outdoor advertising purely through organic growth.
“In Spain, where we are now present in 14 of the 15 largest cities, we have strengthened our position as the largest outdoor advertising company.”