TS Entertainment releases official statement regarding B.A.P's lawsuit against the company 

TS Entertainment releases official statement regarding B.A.P\'s lawsuit against the company

After the six B.A.P members banded together to file a lawsuit against their management at TS Entertainment, the company responded with a statement to shore up their side of the argument.

Their very lengthy press release began with some context. "Since our founding in 2008, for the past seven years, we have created acts such as Untouchable, SECRET and B.A.P as well as a new rookie artist launching soon. As K-Pop becomes a part of the global culture, our goal has been to strengthen our artists\' performances and grow with them as we introduce them into the world.

B.A.P was our first male idol group, and the amount of effort and investment we put into the group was no less than what any other company would have done. Thankfully, due to the efforts of the six B.A.P members who came together as one with their talent and hard work, they were able to show off their skills as K-Pop artists with two world tours under their belts.

In the middle of working together, we received the message this past October through their manager that they wanted to rest. Respecting their wishes, we cancelled their upcoming tours in South America and Japan and gave them a long-term vacation. Visiting home and traveling abroad, the members kept in contact with the company. Recently, they told us their opinion that they wanted to go back to promotions beginning in January of next year. In the middle of planning next year\'s promotions, we heard through a media outlet on November 27 that they were planning a lawsuit.

Since we were maintaining normal contact up until November 26, the article on the next day came as a huge shock. We tried to contact the members through the managers, but they did not respond. We then tried contacting their parents, and the few who we could reach told us to contact their lawyers. We realized that a situation analysis would only be possible after we received the case, and we waited for it to arrive.

In the middle of this, we became suspicious of the media outlets who only focused on one point of view despite the case being in its infancy. As we entered 2014, we were past the break-even point on our finances and B.A.P were on the verge of turning a profit, so this situation became more serious. Finally, we heard reliable rumors that there was a third party controlling public opinion by putting the relationship between the company and B.A.P in a bad light.

To this, we will determine who the third party is and do everything to bring it to justice for breaking the rules of honest business and tarnishing K-Pop\'s image.

To be truthful, the company has still not officially received the lawsuit. After checking, the law firm who prepared the lawsuit mistakenly had a clerical error regarding proof of document, and the courts had ordered them to correct the mistake. Although we have not yet received the case, we made a request to the courts to view the contents of the case so we could prepare this statement. We will now make a statement on some of the biggest issues in the media.

10 billion won in revenue over 3 years. 17,800,000 won per person

TS -> Break-even point reached in 2 years. Second half of 2014, 285 million won expected. If kept to originally planned promotions, second half of 2014 600 million won expected.

Our investment in B.A.P began when they were trainees, and large investments began in the second half of 2011 with Bang Yong Guk\'s solo single, \'I Remember\', and BANG&ZELO\'s \'Never Give Up\'. As you can see in the above chart, until 2013, expenses were greater than income. This is because we put our focus on \'conquering the world through music\' and realizing our shared goal. Thanks to these risky investments, B.A.P were able to take their place as a new-age K-Pop artist, and became profitable two years after their debut - an accomplishment to be proud of.

As the chart points out, from the point we passed break-even, the gap between our expenses and income becomes greater, and B.A.P began to create more and more profit. Looking at the second half of 2014, if they carried on their planned schedules with tours in South America, Japan and China, we were expecting income of 600 million won. Unfortunately, due to the cancellation of these schedules, we are expecting income of around 285 million won.

Also, depending on the level of promotions, we were tracking B.A.P\'s income in 2015 to be around 1.8 billion won.

Ahead of explaining the term "profit split", we will explain the process by which we do our accounting. Following the contract, we calculate our finances every six months. This is how it works: out of all the sales that come from B.A.P, we take out the investments we have made to the group. With the remainder of the income, we divide them based on the category of product and again based on the ratio split with the artist. We do this because there are expenses that are hard to categorize, including dorms, transport, food, school, training, free time, exercise, massages, hospital costs, T-money, etc.

The reason why the ratio is so low with albums (1:9) as opposed to performances/commercials (5:5) is because the latter has a lesser upfront cost and the expenses are split between us and a third party; while with the former, all of the expenses come out of specialized staff members working for the company itself (content directors, designers, producers, marketing, etc).

The profit split to B.A.P in the first half of 2014 came out lower since the majority of the profits came from albums and singles. After this, as the group successfully completes their world tours and stakes out their position as a K-Pop artist, the profit ratio is changing. This is the intended result from both the members and the company, and has achieved the intended affect of making the profit splits reflect the importance of the artists to the company\'s success. In the future, as commercials and events make up a greater portion of profits, the ratio of 4:6 was to be expected.

TS -> same content as the Fair Trade Commission\'s "standard contract" + embodiment

The contents of the "slave contracts" brought up by a media outlet are following the rules set by the Fair Trade Commission, and includes material that embodies their rules.

Regarding the length of the contract, if we look at the FTC\'s guidelines, the length is states as seven years with an extension available upon agreement on both sides with regards to issues such as "extended foreign promotions with a foreign management company" or "any other legitimate reason which may require a long-term contract".

The company has set the beginning of the contract to the release date of the group\'s first album (solo, digital album, full album) and seven years henceforth. The members each signed their contracts on 2011 March, June and September, and Bang Yong Guk and Zelo started early with solo promotions so the end dates on their contracts are all different.

Last July, even after the first-half accounting, the B.A.P members continued their schedules without any problems. However, starting in mid-September, the members began exhibiting emotional outbursts, creating problems with variety schedules and other promised events. Despite this, we have apologized numerous times to broadcast stations and others, and tried to protect the members.

Also, the company had tried to solve the problems through the managers and other staff members via discussion and negotiation, and we respected their wishes of the need to rest. On October 23, we agreed to minimize their activities and cancelled two of their world tours so they would get plenty of time to rest until the end of the year.

Since the B.A.P members showed no outward signs of dissatisfaction and continued to live in their dorm, visit the hospital and share meals together, we believed that they were preparing for their comeback and waited until they were ready. As we stated before, we were planning on a comeback in January when we heard this surprising news.

This is the end of our discussion regarding the above points, and we will bare everything we can to the courts so we can reveal the truth. This much is clear: TS Entertainment did not violate the law and have not treated B.A.P in any way that is immoral or unfair.

Our code is "Honesty. Sincerity. Humility". It is possible that in our quest to create a warm and comfortable home for the members and give them the treatment they deserve, our wishes got misunderstood. If we did not recognize the members\' hurt feelings before, this is also our fault for misunderstanding due to our lack of experience.

Finally, we hope that B.A.P will, even now, be truthful to what they want and come back together to join forces and achieve that dream that we discussed during their debut. However, if they continue to break off communication and seek out the court, we will respect their wishes and face them in a court of law, searching for a proper solution.

We deeply apologize for causing worry to so many people and will work hard to make sure this entire incident can end in a positive light.

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I too can\'t understand why the expenses are rising for the exact same things in their debut time.  It is actually the most expensive in their debut months and as their fame grows, it\'s easier to negotiate higher rates, lower expenses etc as people want their company or names to be associated with a successful group.  So those dramatic increase in expenses are really suspicious.  I hope the courts will get a hold of those documents and BAP attorneys hire REALLY good forensic accountants to go over them with a fine tooth comb.  I also hope BAP doesn\'t get screwed over like Block B did.  Their cases sounds a lot alike.

This long-winded message only makes me feel sadder for BAP.

sorry TS, if the so called saint Bang Yongguk sues u, it means u f*cked up big time

After you see this, don\'t harass me with your own opinions. I\'ll accept whatever you say, just don\'t expect me to agree with what you\'re saying (one of the biggest problems here with netizens of ALLKPOP)

B.A.P is my all time favourite band out of every band out there. I may be a little biased, but I will take into consideration what TS Entertainment had to say on the issue. I don\'t agree with what they\'re saying and I can discuss it to a detailed extent on this article. I thoroughly read the article twice to understand the entire situation. I don\'t know mathematical terms, but I sure know how to Google search definitions.

• 10 billion won in revenue over 3 years. 17,800,000 won per person

TS > Break-even point reached in 2 years. Second half of 2014, 285 million won expected. If kept to originally planned promotions, second half of 2014 600 million won expected.

[Answer] I have absolutely no idea what TS is trying to defend in their position. Is it that if B.A.P continued their activities, they would have made more revenue instead of coming close the break-even point (BEP)? The expenses still cut a close; however, the income that\'s made is still a tad higher. Just remember that you\'re still making 90% of their income, which I will get angry about in the next section.

[Answer] Yeah, this where all hell breaks lose. TS Entertainment says that the reason they calculated  this 1:9 spit was because of the investments made into the group. It\'s the company\'s decision to make all of these grand investments into music videos and other expenses. The company could really care less about the effort the group puts in and their health that is at stake when they over-exert themselves. Just because there\'s a third-party involvement, there should be no excuse to use that as a reason to lower B.A.P\'s portion of the financial split. B.A.P wants to do music, they love it and live for it. It\'s a bitchy move to pull off and take advantage of the sacrifices they had to make to get to where they are today.

In the future, as commercials and events make up a greater portion of profits, the ratio of 4:6 was to be expected. It was to be expected? When? TS things they deserve this shit because they\'re investing so much in B.A.P. JYP goes 5:5, YG goes 4(company):6 (artists) and even SM Entertainment is fair in providing 3(artist):7 (company). They\'ve been working non-stop for two years and 1:9 is the best you can do as a company? B.A.P is receiving less than someone working part-time would earn two months.

TS > same content as the Fair Trade Commission\'s "standard contract" + embodiment

[Answer] It\'s a "standard contract" to unfairly give time off to B.A.P? You have the power to make your own contracts that will suit the needs of your artists. Don\'t find scapegoats to make excuses for something that\'s your problem. Seven years is for an average contract? You made the contract with each member in March of 2011 and don\'t release an album for the remaining four members until a year later which adds up to I don\'t know, eight instead? Yongguk and Junhong receive the fairness of the contract validity, but the other members don\'t? Bullshit.

[Answer] It\'s not even about misunderstanding, you outright did shit that B.A.P didn\'t appreciate. As I said, B.A.P has been working non-stop and deserve a good few months rest. Not just a few days because you cancelled a broadcast variety program or cancelled a few concerts. Stick by your words when you say, "On October 23, we agreed to minimize their activities and cancelled two of their world tours so they would get plenty of time to rest until the end of the year." Don\'t worry, I already know you tried to push in activities into their "resting time."

Since the B.A.P members showed no outward signs of dissatisfaction and continued to live in their dorm, visit the hospital and share meals together, we believed that they were preparing for their comeback and waited until they were ready. Visiting the hospital? What satisfied artist(s) visit the hospital as a way of "no outward signs of dissatisfaction?" You better hop on the therapy train with SM because TS, you are even worse than SM Entertainment right now and it will only get worse if you don\'t pick up your shit and dispose to start a new.

Our code is "Honesty. Sincerity. Humility". It is possible that in our quest to create a warm and comfortable home for the members and give them the treatment they deserve, our wishes got misunderstood. If we did not recognize the members\' hurt feelings before, this is also our fault for misunderstanding due to our lack of experience. This paragraph makes me laugh, why? This whole statement is nothing but protecting nothing for TS. I thought they were a company who protect and loved their artist like YG and JYP, but nope/ TS is just like any other crappy company who is only in to benefit work of others for money. It doesn\'t even have to do with the fact that TS has a lack of experience (since they established the company in 2008), but it\'s human nature to nurture and care for every person who is like family. It should come from a heart we were embedded with and a conscience we should all use.

All in all, B.A.P did what they could and wanted to nullify their contracts all together. It shows their love for each other and trust they have that will not disintegrate at any point. You can clearly see that B.A.P\'s strength and power come from within each other and the support of the fans who dearly love and cherish the six boys. TS Entertainment (in my opinion, of course) didn\'t do anything in defending themselves, but rather giving a pitiful image of how poorly they\'re running their company. Make changes before it\'s too late because if TS waits any longer, I really don\'t see a consensus coming out of this.

Watch TLDR slave contracts from Simon and Martina they explain it very well.

Who the hell is this \'mysterious third party\' that this agencies are blaming to be behind all this break up and lawsuits?! And now whoever this 3rd party is even controlling the media and people\'s opinion. Wow so poweful!! Didn\'t SM also said the same thing when Luhan files a law suit against them?! Is this a makjang drama or something. 

The entertainment industry is really so dirty and complicated. It\'s all about politics at the end of the day!!

they are such nice kids T.T love them so much!!! They must been so physically and mentally tired from all the world tours non-stop. And then suddenly ONE break to settle it all??? WTF..one break in what 3years????????? Forcing them not to contact their loved ones???? They tolerate all this shit for their music.!!!!!!!! But TS crossed their line!!! Yongguk wrote so much songs, and he didn\'t receive the money he deserved?????? Wtf??????? Bap earned so much money, all to TS???? Fuxk TS

Sounds like a lot of backtracking. They are an inexperienced company that suddenly had a group that became popular pretty much overnight and the executives didn\'t know how to manage them correctly. While One Shot is a good video, it doesn\'t look like it cost a million dollars to make. Especially in The Philippines. And I\'m sure the members would have preferred to have that money and tone down some of the CGI. 

They started to act out, because they have been working straight through for three years with no pay. Anyone human being would start to speak up and rebel in that situation.

TS ent. Trying to be the good guy now? lol PLS b.a.p all 6 members won\'t lie ._. the ratios are all wrong. they have been sipping up all the money and they actually dare to show charts to prove that they were innocent? Trying to convince people with long paragraphs? You separate bap from their family..that itself is torture...wtf..bap fighting! The truth will come out soon!

And so the mysterious third party excuse makes its return

Can\'t argue with math. Sounds like BAP are a bunch of liars. Good thing they\'re disbanding after this. the kpop industry doesnt need lying scum like them

your the scum..you don\'t even know the truth!

If you want attention just do it somewhere. It\'s obvious you don\'t know the reason for BAP lawsuit.

What bugs me is the fact that TS keeps on saying "

But we gave them a break by cancelling their world tours!" Well

fucking done, you gave them ONE break and use that as proof repeatedly of treating them "fairly". 

If TS really treated them properly, they would have more proof rather than just that one occasion. BAP wouldn\'t want to carelessly worry their fans by filing a lawsuit without believing that they\'re being treated unfairly and without thinking carefully about it first. Especially when preparing for a comeback.

from bap\'s vocal trainer after this statement

진짜 손바닥으로 하늘을 가리려고 하시네 그래프보니깐 말이 안나오네 비용이 점점 늘어나? 음원값이 올랐나 표값이 올랐나 시디값이 올랐나 비용이 왜 점점 늘어나 금액으로 기준 잡아놓고 데뷔초기비용과 저렇게 현저히 차이가 나나 느그 월급이 비용이겠지 퉷

You guys are seriously trying to hide the sky with your palms. After looking at your graphs, I have no words. Your expenses keep increasing? Did you raise the song prices, did you raise the ticket prices, did you raise the CD prices? Why are your expenses increasing. If you set a standard amount, would there be that much of a differences in expenses from their debut days? I guess the rest was your paycheck patooie (spitting sound)

열받아서 두서없이 글쓰는데 이해해주시길 암튼 다들 겁먹지말고 힘내길!

I\'m angry so I may not be making much sense but please understand. Anyways, everyone don\'t be scared and be strong!

 trans. cr; Nicole @ baptrans ; take out with full credit

copy paste from daehyun\'s ex-vocal teacher: I HOPE EVERY SINGLE PEOPLE THAT TURN ON TS SIDE, CAN READ THIS"

 the member\'s minds are not on the money right now. The problem is about their unclear future.

They are the main money makers, but they don\'t know what kind of work they are doing, how much they\'re earning, how much they\'re spending but they should just accept what they are given and just work? Isn\'t that a slave?

The important thing is even if you simply think about it, you can tell the intentions are meant to be irrational and when asked for details about how things are going they won\'t show any account details so how can they just accept however much they are given? How can they make any goals for the next one or two years?"

If only one member filed a lawsuit, yes, I might side with the company or them give them the benefit of doubt. But when all 6 members file a lawsuit? The chances of the company a douchebag is greater than the chaves of all six members being money hungry \'traitors\'. 

Allkpop and  Soompi too fast posted about TS statement. But now where is The DISPATCH 141205: Information regarding B.A.P\'s current lawsuit issue.  #Waiting

Any translation to that report? I\'ve been looking.

@lovegdoppa thanks. I checked awhile ago they didn\'t have this up yet. :)

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