Kim Soo-hyun Faces Financial Fallout as Companies Sever Contracts

South Korean actor Kim Soo-hyun, renowned for his roles in popular dramas such as “Dream High” and “Moon Embracing the Sun,” is currently embroiled in a significant controversy that has led multiple companies to sever ties with him. The scandal centers around allegations of a past romantic relationship with the late actress Kim Sae-ron, purportedly beginning when she was a minor. These claims have not only tarnished Kim’s public image but have also prompted swift reactions from brands and the entertainment industry. 

The controversy erupted when a YouTube channel alleged that Kim Soo-hyun and Kim Sae-ron had been involved in a six-year relationship starting when she was 15 years old. Despite strong denials from Kim’s agency, Gold Medalist, which labeled the allegations as “completely false” and threatened legal action, the damage to his reputation was immediate. The situation intensified with the release of a photograph showing Kim kissing Kim Sae-ron on the cheek, further fueling public speculation.  

In response to the escalating scandal, several companies have reevaluated their associations with Kim Soo-hyun. CJ Foodville, the operator of the bakery chain Tour les Jours, terminated its advertisement contract with the actor ahead of its scheduled expiration. Similarly, Homeplus, a major grocery chain, concluded a recent promotional deal with Kim and is assessing the situation before considering future collaborations.  Luxury fashion brand Prada also ended its partnership with Kim, stating that the decision was mutual and made in light of the gravity of the issue.  Additionally, beauty brand Dinto paused promotional activities featuring Kim, and Jeju Airlines removed a decade-old advertisement in which he appeared.    

The financial implications for Kim Soo-hyun are substantial. Reports indicate that he was serving as a model for approximately 19 brands across various sectors, including luxury fashion, cosmetics, finance, and retail. With annual modeling fees estimated around 500 million KRW per contract, the potential penalties for contract terminations could range between 16 to 24 billion KRW.  This financial strain is compounded by public backlash, with netizens threatening to boycott brands that continue their associations with the actor, thereby exerting additional pressure on companies to distance themselves from him.   

The scandal has also impacted Kim Soo-hyun’s upcoming projects. Viewers are calling for his removal from MBC’s variety show “Good Day,” and there is uncertainty surrounding his role in the Disney+ drama “Knock-Off,” which has yet to announce a release date.  As the situation unfolds, the long-term effects on Kim’s career remain uncertain, highlighting the profound impact personal controversies can have on professional endeavors in the entertainment industry. 

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