Southern Cross Austereo has teamed up for the long haul with Australian Traffic Network, valued at $207 million.
The partnership provides traffic updates and reports to the SCA network. The Network has already been providing reports to SCA for the past 10 years.
CEO of SCA, Grant Blackley, said: “We are delighted to have entered into a long-term arrangement with ATN for them to continue to provide traffic and information reports in metro and regional markets. The arrangement fits with our focus on localism in radio.
“The new contract has enabled SCA to accelerate its capital management initiatives by utilising the initial up-front cash payment for debt reduction. This completes our balance sheet repair process, enables SCA to resume paying full cash dividends and provides a stronger balance sheet for the future.”
The contract is a 20 year extension.