MANILA, Philippines – Amid a deepening rift within the influential Lopez family, the majority controlling bloc of Lopez Inc. has issued a strong statement of support for media giant ABS-CBN Corp., asserting the network will not only survive but thrive despite internal conflicts.
"ABS-CBN is an institution that serves the public and the country. It will survive and grow once more. The majority will make sure of that," declared the group led by Eugenio "Gabby" Lopez III, which holds 71 percent control.
The statement comes as tensions escalate over the removal of Gabby's cousin, Federico "Piki" Lopez, from Lopez Inc. The majority bloc cited a "loss of trust" as the reason for his dismissal, which was approved by a 5-2 board vote.
In a revealing accusation, the majority claimed Piki had proposed shutting down and liquidating ABS-CBN last year rather than continuing to fund its operations. Such a move, they argued, would have jeopardized nearly 4,000 jobs and raised serious concerns about creditor repayments and the continuity of public broadcasting services.
Contrasting this approach, the majority stated they had personally and corporately infused "hundreds of millions of pesos" to keep the network operational. They also addressed allegations of preferential treatment for certain retirees, explaining that many had voluntarily deferred benefits to help support other employees during challenging times.
The conflict extends beyond ABS-CBN to First Gen Corp., where Piki serves as chief executive. The majority has raised alarms about a controversial "poison pill" provision in First Gen's agreement with Prime Infrastructure Capital Inc. This clause could trigger approximately ₱23 billion in penalties if Piki and his designates are removed from the company—a provision the majority claims benefits only Piki's interests and raises significant corporate governance questions.
"With maneuvers like this, how can you trust Piki?" the group questioned, characterizing his public statements as "misleading" and "a desperate attempt to cling to power."
As the family dispute unfolds, the future of one of the Philippines' most prominent media institutions remains at the center of a corporate power struggle with far-reaching implications for employees, creditors, and the viewing public.