In a major shift in Gotham’s billboard biz, giant CBS Outdoor lost a decade-long contract with the city’s Metropolitan Transportation Authority to two smaller rivals.
Shifting pacts that had been held by CBS’ outdoor unit and its predecessor companies for decades, the MTA awarded Titan Worldwide a 10-year, $823 million contract, and Van Wagner Communications a 10-year, $58 million contract.
“We presented the MTA with a responsible bid and can now focus our efforts on the subway franchise here in New York, as well the growing number of LCD screens we’re offering our clients,” CBS said in a statement.
CBS Outdoor retains its 10-year, $580 million contract for all subway stations and 1,600 panel displays.
The outdoor biz appears to be enjoying a renaissance. It’s been a strong performer for CBS of late and has become a favorite of CEO Leslie Moonves.
Starting Jan. 1, Titan will sell ads on more than 4,500 city buses, Long Island buses and Metro-North commuter rail. Van Wagner will sell ads on 150 billboard displays found on MTA properties across the city.
CBS shares Thursday shrugged off the news, which had been expected for several days, rising 0.67% to close at $31.60.