Monday, August 10, 2009

[Lawsuit] SM's stance: We gave DBSK 40% of the profit

SM Entertainment revealed recently, “We split profits with group Dong Bang Shin Ki at the ratio of 4:6.”

Revealed on MC programm “Current Affairs Magazine 2580′ aired on 9th August, Dong Bang Shin Ki has brought in a recorded 4.98 billion KRW. Of these, SM has invested 2.24 KRW. And the rest was split between the group and SM at 4:6.”

SM said, “Of the benefits, Dong Bang Shin Ki gets 4 proportions and SM gets 6 proportions. Of the 2.74 KRW, Dong Bang Shin Ki gets 1.10 KRW and SM gets 1.64KRW.”

It was also revealed that for overseas promotions, Dong Bang Shin Ki gets 7 and SM gets 3 proportions.Also for overseas event, CF revenues, they are split at 7:3.

But according to the 3 members of Dong Bang Shin Ki, “The splitting of profits is not transparent. We cannot trust them.”

And also about their 13-year contract, SM said, “We also secured the time when the group went overseas to promote. In Korea 3~4 years, in Japan 3~4 year, in China, it was 3~4 years.”

And about this, the 3 members’ lawyer said, “This is a contract which will make this idol stars work their live. Also for album sales, they only receive no more than 0.4~1% for each member.”

Updates on the case of the lawsuit against SM Entertainment.

Credits: KBites

Comments: Please do not take any of what SM is declaring as factual as of yet. As you heard in the radio show I posted earlier, SM has been manipulating their accounting statements to make profits appear less with misc. expenses. Without further investigation on their accounting books, their profit & revenue numbers, and the sentencing and final verdict of the judges, we cannot even afford to give SM the benefit of the doubt. Why? Because they have have done this 3x in the past with their other huge label idols. Lets see what happens.

1 comment:

Anonymous said...

yes! agree with you..always keep the faith..

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