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VisionChina Media's CEO Discusses Q1 2012 Results - Earnings Call Transcript

The Chinese government is promoting a development of a new massive public transportation system in the tier 2 cities such as Wuhan, Suzhou and Hangzhou. These cities are preparing to open new subway lines, and VisionChina Media has initiated preliminary discussions regarding cooperation in these cities. We plan to conduct further research in this region to assure a favorable cost structure that will provide a solid base for future growth if we choose to add this new system to our existing network.

To update you all on our external cooperation regarding technological development, VisionChina Media has successfully obtained new patrons in the development of television’s core hardware technology. Some of them such as broadcasting monitoring tools, noise reduction and interactive systems have already been put into use on our platform, greatly enhancing the viewing experience of our mobile television audience while increasing advertising effectiveness in this era of new media technology innovation.

We have also made strides in programming innovation. We have recently been authorized to jointly broadcast more public service announcements for CCTV, thereby enhancing VisionChina Media’s public credibility and value as a public media platform. In addition, we have further strengthened our cooperation with various leading satellite TV stations in China. By leveraging this relationship to broadcast highly-rated and customer-tailored content from these stations and leveraging the public’s appreciation for public service announcements, VisionChina Media is creating secondary advertising sales opportunities for such programming. This type of cooperation allows us to cultivate VisionChina’s media value and create new revenue opportunities.

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