TV5 on Thursday issued a detailed statement explaining its decision to terminate its content partnership with ABS-CBN, emphasizing that the Kapamilya network’s continued failure to remit TV5’s rightful share of revenues had already begun to jeopardize TV5’s own operations.
While acknowledging the audience value of ABS-CBN programs and recognizing the network’s financial struggles following the loss of its broadcast franchise in 2020, TV5 underscored that business necessity ultimately drove the termination.
TV5 said ABS-CBN’s nonpayment of its financial commitments under their five-year content agreement had reached a “material value,” severely affecting TV5’s ability to compensate its employees, talents, and production partners. The agreement, signed in 2023, allowed ABS-CBN shows to air on TV5 in exchange for remitting TV5’s share of generated revenues.
According to TV5, repeated appeals for settlement went unanswered, and ABS-CBN failed to provide either payment or any assurance that it could fulfill its obligations.
“These amounts collected—TV5’s share being held by ABS-CBN—have reached such material value as to severely affect TV5’s ability to settle its own obligations,” the network said. “Despite our repeated appeals, ABS-CBN has failed to pay what is due, nor have they given assurances or indicated that they can or will.”
TV5 added that while it values the partnership and understands ABS-CBN’s financial difficulties, it must prioritize its responsibility to its workforce and stakeholders. “Our leniency and forbearance must now yield to the realities of this business. We need the funds owed to us to continue serving our viewers.”
In a separate statement, ABS-CBN confirmed receipt of the termination notice, acknowledged its outstanding obligations, and attributed its financial strain to the franchise loss. The network said it has asked for more time and is working within the 30-day window to resolve the matter.