The French outdoor advertising company JCDecaux and BAA have jointly agreed to terminate a £500m ad deal covering seven UK airports, including Heathrow and Gatwick.

The deal, which was struck in May 2006 and could potentially have run until 2017, covered billboard advertising at Heathrow, Gatwick, Stansted, Glasgow, Edinburgh, Aberdeen and Southampton airports as well as the Heathrow Express train service.

However, following a Competition Commission ruling in March that ordered BAA to sell Gatwick, Stansted and either Glasgow or Edinburgh, the two companies have decided to terminate the "pan-airport" contract in April 2010.

BAA said that it would start the process to "structure a new contract" covering the airports it ends up retaining. It is thought that a tender calling for bids to handle the contract will go out later this year.

It is expected that the airports sold off by BAA will tender outdoor advertising contracts individually.

"BAA have had a successful association with JCDecaux Airport for many years," the airports operator said.

"This relationship has seen the development of an extensive media estate across BAA focusing on the innovative use of technology. Our partnership has both improved customer experience and provided more flexible opportunities to our media partners through the expansion of digital. As we move into a newly structured BAA business over the next few years, we expect our relationship to develop and change to reflect our new organisation."

The two companies said that the contract termination would "present both organisations with an opportunity to better structure their businesses to reflect the new airport portfolio".

JCDecaux also holds the outdoor advertising contracts for Luton airport, Eurotunnel and Gatwick Express.

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