Longtime Tennis Channel chairman and chief executive Ken Solomon was ousted by parent company Sinclair because of his ties to Dr. Phil’s new media company, according to a report.
Sinclair, the nation’s second largest TV station operator, took issue with Solomon’s advisory and board member role for Phil McGraw’s Merit Street Media company, The Wall Street Journal reported over the weekend.
The shakeup comes as Sinclair tries to unload The Tennis Channel, which wrapped up coverage of the US Open on Sunday. Solomon’s last day at the network is Monday.
Anonymous sources told The Journal that Solomon’s work with Dr. Phil was seen as a “growing distraction.”
People close to Solomon countered that the exec has held similar roles outside the company throughout his tenure at the Tennis Channel, a post he has held since 2005, with no complaints.
They added that the CEO received support from Sinclair for his involvement with the talk show host, which dates back to late last year.
Sinclair sources maintained that Solomon’s role has become more time-consuming and hands-on as the collaboration progressed.
Another tension point appeared to be Sinclair’s desire for Solomon to work in Tennis Channel’s Santa Monica, Calif., offices, though the former chairman had recently purchased property in Dallas. McGraw’s company is based in the Dallas-Fort Worth area.
People close to Solomon said the acquisition is a horse ranch for Solomon’s wife and that he still has a home in Los Angeles.
Baltimore-based Sinclair bought the Tennis Channel in 2016 from a group of private-equity funds for $350 million.
It has hired investment bank Moelis to sell the network — which was valued at $750 million in 2022 — along with a trove of its local TV stations.
Solomon, who stands to profit from the sale as a stakeholder, has been heavily involved in the proceedings, working with the bank to meet with potential buyers, The Journal said. Sources told the publication that the sale is continuing, with a deadline for final bids to be set in the coming weeks.
Insiders were shocked to hear of Solomon’s departure from the network he helped build.
“Ken is the Tennis Channel,” said Micky Lawler, who headed the Women’s Tennis Association for nearly a decade. “He is always ahead of the curve, I just can’t imagine not having him there.”
That sentiment was echoed by legendary tennis player and Tennis Channel commentator Martina Navratilova, who said the exec’s “level of passion is only matched by his business acumen and vision for the future.”
Solomon helped build out the network’s streaming service Tennis Channel Plus and its advertising-supported streaming platform T2.
Roughly 35 million homes in the US subscribe to TV bundles that includes the Tennis Channel. When Sinclair bought the network, it had earnings before interest, taxes, depreciation and amortization of between $15 and $20 million. This year, it is expected to have Ebitda of $137 million on revenues of $325 million.
Still, Sinclair, like other broadcasters, has seen steep declines in viewership due to cord-cutting and competition from streaming services. It is looking to offload as many as 60 of its 185 stations.
Earlier this year, Sinclair also agreed to pay $495 million to settle a legal battle against Diamond Sports, which alleged that the media giant took $1.5 billion out of the company before it filed for bankruptcy. Sinclair has denied those allegations.
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