Sinclair oustes Tennis Channel CEO for advising Dr. Phil on his company

Sinclair Broadcast Group has ousted longtime Tennis Channel chairman and CEO Ken Solomon, citing time spent on non-work-related activities as the reason for his departure. Specifically, the parent company had concerns about the advisory and board role of Merit Street Media executive Dr. Phil McGraw, according to an exclusive report Wall Street Journal.

The shakeup, which comes amid the channel’s focus on the U.S. Open through Sept. 9 (also Solomon’s last day on the network), won’t deter Sinclair Inc. from its bid to sell the channel. Solomon’s efforts with Dr. Phil were seen as a “growing distraction,” according to anonymous sources.

However, according to the report, sources close to Solomon said the businessman has held similar roles outside the company throughout his tenure at Tennis Channel, a position he has held since 2005, without complaint. Additionally, the sources said he has received support from the company for his involvement with McGraw, which dates back to late last year. In response, Sinclair sources maintained that Solomon’s role has become more time-consuming and hands-on as the relationship progresses.

Another area of ​​contention appears to be Sinclair’s desire to have Solomon work in Tennis Channel’s Santa Monica office, even though the former CEO recently bought a property in Dallas. People close to Solomon say the acquisition involves a horse ranch for Solomon’s wife and that he still has a home in Los Angeles. McGraw’s company, meanwhile, is based in the Dallas-Fort Worth area.

The firing comes amid Sinclair’s hopes of selling Tennis Channel. The Baltimore-based parent company, which bought the network in 2016 from several private equity firms for $350 million, is the second-largest television station operator in the United States, behind Nexstar Media Group. In June 2021, Sinclair was named Fortune Company 500.

According to JournalSinclair has approached investment bank Moelis about selling Tennis Channel — valued at $750 million in 2022 — along with some of its local TV stations. Solomon, who stands to benefit from the sale as a shareholder, has been heavily involved in the process, working with the bank to meet with potential buyers. Sources told the publication that the sale is ongoing and a date for final bids will be set in the coming weeks.

Tennis Channel has about 35 million viewers in its households who subscribe to packages that include it. Sinclair, meanwhile, has seen its affiliates shrink as the broadcast industry as a whole grapples with cable cuts and competition from streaming services. The company is phasing out as many as 60 of its 185 stations.