Manila, Philippines – Erstwhile industry allies TV-5 of businessman Manuel V. Pangilinan and listed broadcaster ABS-CBN Corporation of the Lopez group locked horns over a revenue-sharing deal that fell through.
TV-5 has pulled the plug on a content partnership agreement that gave ABS-CBN programs – among them the TV series “Batang Quaipo” top-billed by action star Coco Martin – an airtime slot after the Lopez-led network failed to secure a new franchise to run its business.
That deal, in place since 2023, required ABS-CBN to remit part of its advertising revenue to TV-5, a contractual obligation that the listed broadcaster allegedly reneged on.
In a regulatory filing, the listed broadcaster denied it had been remiss in its payment, but it confirmed the split with TV-5.
“ABS-CBN confirms receipt of a notice of termination of its TV Content Supply Agreement with TV5. We deeply regret that this action has been taken at this critical juncture in our recovery, particularly as we continue to navigate the unprecedented challenges arising from our franchise loss,” read the Dec. 4 disclosure to the Philippine Stock Exchange.
ABS-CBN owed TV-5 approximately P1 billion in unremitted revenue share, Bilyonaryo.com first reported.
But the Lopez-led broadcaster said: “Contrary to media reports, the amounts and manner of the claims remain disputed.”
“We acknowledge our obligations to TV5 and are doing everything we can to address these payments,” it added.
ABS-CBN also countered claims that it “wilfully delayed payment.”
“Such characterizations fail to acknowledge the severe financial constraints imposed on us through circumstances beyond our control,” read the disclosure.
In a separate statement, TV-5 said timely payments were crucial to funding its operations.
“Their failure to meet their financial commitments to us has made it very difficult for us to compensate our own employees, talents, and partners who help deliver these programs to your homes,” the Kapatid network said.
Still, TV-5 pointed out that it values the partnership, only that it faces its “own challenges.”
“Our leniency, as well as forbearance, must now yield to the realities of this business,” the statement read.
