ABS-CBN: ‘We acknowledge our obligations to TV5’

But it clarified that there is no truth to any insinuation that it willfully delayed payment to the Kapatid network.

Amid circulating reports regarding its partnership with TV5, ABS-CBN Corporation issued a clarificatory statement to the Philippine Stock Exchange (PSE).

In its message, the Kapamilya network said that it has indeed received termination notice from its partner station.

It wrote, “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.”

The company further stated that 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. We have sought additional time to resolve this matter and are working urgently within the thirty-day period we have been given,” the corporation added.

ABS-CBN also noted that while this timeline is “challenging” given its current circumstances, they remain committed to finding a way to fulfill their obligations not only to TV5, but to all their partners and stakeholders.

“We remain open to fair and reasonable solutions that recognize the extraordinary circumstances our company has faced,” it added.

Moreover, it also denounced the insinuation that it has “willfully delayed payment,” saying that thede characterization failed to “acknowledge the severe financial constraints imposed on us through circumstances beyond our control.”

The Kapamilya network then recalled that in May 2020, two months after the COVID-19 lockdowns started, ABS-CBN was forced to cease its free-to-air TV and radio broadcasts following a cease-and-desist order from the NTC. Two months later, the House of Representatives denied our application for franchise renewal, officially taking ABS-CBN off air.

“The franchise loss significantly reduced ABS-CBN’s revenues, causing the company to sustain losses for the first time since its return after Martial Law. This was not a matter of choice or mismanagement, but a direct result of regulatory action that stripped away our primary revenue source. While some revenue streams have since recovered, ABS-CBN continues to operate at a loss as we work to rebuild,” it explained.

Despite these “formidable challenges,” ABS-CBN said that the company’s transformation into a storytelling company has shown “steady performance improvement,” which demonstrates the media giant’s resilience and commitment to stakeholders.

“While we are still short of realizing a full turnaround, our trajectory is clear and our dedication unwavering,” it added.

Meanwhile, should this partnership with TV5 be terminated, ABS-CBN assured audiences that it will continue to find ways to reach them, even after they have overcame the initial difficulties after losing the franchise.

“[W]e will not abandon our Kapamilya and will find ways to continue serving you,” it said.

Furthermore, “It is our sincere desire to continue serving the Filipino and finding solutions that reflect the spirit of collaboration and mutual understanding—solutions that are best not only for our partners and us, but for the millions of Filipinos who depend on quality content.”

The company also heralded back to its core mission of being “in the service of the Filipino,” which it says will continue to guide all their actions by always putting the well-being of audiences at the heart of its work.

“We thank our Kapamilyas, our employees, our stars and talents, our advertisers, and our audiences for their unwavering support and trust in ABS-CBN during this challenging period. Your solidarity gives us strength as we navigate these difficulties,” it said.

Lastly, ABS-CBN stated: “Further updates will be provided as developments warrant.”

Meanwhile, it also issued a separate version of its official statement on its social media platforms.

To our dear Kapamilyas:

We want you to hear this directly from us: ABS-CBN has received notice that our partnership with TV5 may end. While we are doing everything we can to resolve this within the short time we’ve been given, we want to be transparent with you about what’s happening.

Since losing our franchise in 2020-in the midst of a pandemic-we have faced challenges unlike any in our history. We’ve had to rebuild from the ground up, operating at a loss while staying true to our mission. These financial constraints are real, but they have never diminished our commitment to you.

We know we have obligations to fulfill, and we’re working as hard as we can to honor them. But whatever happens, our service to you will continue. We will find ways to reach you, just as we found our way back to you after losing our franchise.

In the Service of the Filipino is our purpose and we will strive to pursue this no matter the odds.

Thank you for believing in us.

This statement comes hours after a bombshell report by online news publication Bilyonaryo, where it said that TV5 has issued a demand letter versus ABS-CBN over unpaid obligations.

In the same communication, it was also allegedly expressed that the Kapatid station is set to scrap its supposed five-year contract with the Kapamilya channel on January 2, 2026, effectively ending the deal just two and a half years it was signed in June 2023.

At present, TV5 Network, Inc. or its owner Mediaquest Holdings, Inc. has not yet issued a statement on the issue.

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