In a recent development, SM Entertainment  has officially addressed its position concerning the exclusive contract of EXO members Baekhyun, Xiumin, and Chen, collectively known as "CBX."

In an interaction with media outlet OSEN on August 9th, the company clarified that the existing exclusive contract with CBX remains intact, defying speculation of its termination.

The statement was accompanied by insights into the group's ongoing activities and the rationale behind their decisions.

Mutual Understanding Alters Contract Terms

Highlighting the details, SM disclosed, "Baekhyun's exclusive contract is set to expire in January next year. Baekhyun is preparing his solo album with the goal of releasing it within this year."

Furthermore, the company revealed that a new exclusive contract has been put into effect, incorporating alterations agreed upon through mutual understanding with CBX.

I just want to say, prepared yourself. Something serious is happening. For this IG live, Baekhyun had written notes for things he wanted to mention here

He talked about SM entertainment, why he sued them, his vocal lesson & album preparation, mentioned Kasper name, and more pic.twitter.com/Q0iBqEYhD2

— Zoro's darling 🇵🇸 (@chanbluesky) August 7, 2023

READ ALSO: EXO Baekhyun to Establish Own Company - What Will Happen To His Group Activities? 

Explaining the motivation behind their agreement with CBX amidst contract disputes, SM outlined its commitment to safeguarding the members and the EXO group, particularly for the fans. This decision was taken at a crucial juncture when EXO was in the process of launching a new album with all members.

The company elucidated that a prolonged dispute could have impeded the normal preparation process for the album, given the uncertainty surrounding EXO's collective activities in the foreseeable future.

When queried about the potential trajectory of CBX following the culmination of their existing exclusive contract, SM asserted that the new contract is operational, ensuring the continuity of EXO's group activities.

While the specifics of the settlement remain undisclosed, the company clarified that the three CBX members have been granted the liberty to participate in individual undertakings.

SM Ent. explained regarding #EXO #Baekhyun recent live.

The exclusive contract hasn't been terminated, Baekhyun still under contract until Jan 2024. Baekhyun solo album also been prepared with the goal of releasing it within this year. The new exclusive contract has been… pic.twitter.com/VgqiNOSGF8

— KoreanUpdates! (@KoreanUpdates) August 9, 2023

Netizens' comments: 

• "Everything that comes out of the clutches of the SM is pure slander and lies. The only ones I can trust and believe in are the EXO members."
• "We are not falling for this we trust only Baekhyun and EXO"
• "Whatever you say @SMTOWNGLOBAL #WeStandWithBaekhyun"
• "every sm artist needs to escape that company asap"
• "Lies Lies Lies"
• "It's none of their business"

Addressing recent reports of Baekhyun's intention to establish a private company, SM disclosed its lack of prior knowledge and indicated that the information was acquired through media channels. Nonetheless, the company expressed confidence in the enduring strength of the mutual agreement between the parties.

It is noteworthy that during a recent live broadcast, Baekhyun openly discussed his plans to establish and manage a private company, collaborating closely with his friend and renowned dancer-choreographer, Kasper. He underscored that this initiative had received the approval and support of SM Entertainment.

READ ALSO: What Will Happen To EXO 2023 Comeback? SM Entertainment Releases Official Update 

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KpopStarz own this article.
Cassidy Jones wrote this.