Philippine Sports News and Updates

Philippine Basketball Association (PBA) Commissioner Sonny Barrios confirmed reports that Solar Sports Entertainment “proposed” a reduction of its television franchise fees.

Solar Sports Entertainment holds the TV rights to the PBA games through its block time schedules in Channel 9.

“There is a running discussion between PBA and Solar regarding the lockout provision of our contract. May interpretasyon kami doon, may interpretasyon sila,” Barrios said during this week's Philippine Sportswriters Association (PSA) Forum at the Shakey’s UN Avenue branch.

The PBA commissioner said that although they have a “deadlock” on the lockout provision, Solar was open to give way provided that there will be a cut in their franchise fee.

“So ang sabi ng PBA, without actually committing: ano bang diskwento ang hinihiling n’yo? Sila ang nagsabi ng 25 percent,” said Barrios.

He, however, pointed out that Solar did not seek an outright discount.

“Humingi ba sila out of the blue ng discount? Hinde, kasi nga may background, may pinagtatalunan,” Barrios explained.

Lockout provision

Barrios said the PBA’s lockout specifically covers “TV premiums” or the advertisements being aired during PBA games which compete with brands of some of the PBA teams.

The problem is similar to one when Viva Vintage had the TV rights. It showed “Budweiser Buddies" commercials which clashed with San Miguel Corporation, one of the firms with a team in the PBA.

Barrios noted that the current problem concerns the “TM Tres” premium, a direct competitor of Talk ‘N Text, which also has a PBA team.

The PBA commissioner said that “placements of TV commercials of competing products are not covered by the lockout clause.”
This means that based on the league's interpretation, Solar cannot air advertisements that compete against brands carried by PBA teams.

Barrios disclosed that Solar sought an exemption which would allow them to show TV premium commercials “provided it occurs no more than four times a game and they will not use it on players and the teams” of competing products.

The PBA commissioner said they did not use the word “team” in the paragraph being questioned in the contract.