They're probably not selling it to the advertisers. Just displaying ads which match your location, which is a different thang.
Don't care, it still offends me.
And they're still selling the use of the information to the advertisers, even if not the specific data value. So they are cheating advertisers with out-dated information.
Are you connected using 3G? They'll be able to infer from that which areas you spend most of your time in, because your provider sells that information on to them. Oh yes. (Possibly.)
All of these services would be chargeable without adverts. Just saying...