CEBU, Philippines - The biggest paying lessee at the Mactan Cebu Bridge Management Board (MCBMB) has expressed interest to renew its contract for lamppost advertising at the two bridges.
During the board’s last monthly meeting for 2011, MCBMB vice-chairman Engr. Pericles Dakay informed the body of the interest of City Advertising Ventures Corp. (CAVC) to renew its contract.
The CAVC contract will expire on January 31, 2012, prompting the Board to immediately renew the contract for another two years effective February 1, 2012. The contract stipulates an increase of 7.5 percent of the prevailing rate, per year.
Dakay said CAVC is willing to follow this stipulation, which means the present P146,900 per month rate will become P158,000 per month once the contract is renewed.
CAVC practically assumes the function of contractor because while it generates advertisers from various brands or products, it has to pay the lease stipulated in the contract with the bridge board with or without advertisers.
CAVC is the biggest paying lessee to MCBMB’s expected monthly income of P310,862.
The rest of the income is shared by other lessees like Alcordo International, Inc.; Cebu Ad Consultants; Innove Communications, Inc.; JKJ Media Services, Inc.; Metropolitan Cebu Water District; Philippine Long Distance Telephone Co.; Sky Cable Pacific CATV, Inc.; National Grid Corporation of the Philippines and Unicable, Inc.
Contracts of some lessees are yet to expire on May 31, 2012 while others still will expire on May 31, 2013.
During the meeting, Board Treasurer Roy Salubre reported the total collection amounting to P3,468,723.15 for the period January 1 to November 30, 2011.
It also has receivables amounting to P423,731.55 at the end of this year. — (FREEMAN)