Thursday

23-04-2026 Vol 19

The $3 million ‘bonus’ mystery in ARN’s bombshell countersuit against Kyle and Jackie O

Kyle Sandilands was handed a $3 million bonus to sign his $100 million contract with KIIS FM, but his co-host Jackie ‘O’ Henderson was given no such deal.

That is according to cross-claim court documents filed by ARN against Sandilands, 54, demanding he pay back $2.6million – or 87.92 per cent of his bonus, equating to the remainder of his 10-year contract.

In ARN’s cross-claim against Henderson seen by nine.com.au, no monetary claim like that exists.

The Australian Financial Review were the first to highlight the discrepancies in contract, citing two anonymous sources who claim Sandilands did receive a one-off $3m bonus while Henderson, 51, did not.

Sandilands and Henderson are pictured in 2023. (Supplied)

According to the publication, the bonus was requested by Sandilands late in contract negotiations.

Nine.com.au has contacted ARN and representatives for Sandilands and Henderson for comment.

The revelation comes after ARN launched a countersuit against Henderson and Sandilands, both of whom are suing their former employer for wrongful dismissal.

READ MORE: KIIS FM’s breakfast ratings suffer in Sydney in new radio ratings 

READ MORE: A timeline of the ‘biggest bust-up in Australian media’

READ MORE: Letter Jackie O sent her former employer over Kyle allegations revealed

Radio host Kyle Sandilands leaves his home in, Vaucluse, 17 March 2026.
Sandilands reportedly nabbed a $3 million bonus when signing up to the KIIS FM breakfast show. (Jessica Hromas)

The Commonwealth Broadcasting Corporation (CBC), a subsidiary of ARN Media that runs KIIS FM, claim the duo should repay lost advertising revenue after the show was pulled off-air on March 3.

ARN has “suffered loss or damage in the form of lost advertising revenue, or lost profits,” each cross claim states.

The court documents reveal both Sandilands and Henderson’s contracts had a clause indemnifying ARN for any breaches of contract.

The cross-claim was in response to Sandilands and Henderson’s own lawsuits against ARN for wrongful termination in two blockbuster legal claims worth a combined $167 million.

The pair’s respective hearings are set to be heard before a judge in Sydney on Friday in the Federal Court.

Kyle & Jackie O
The radio duo are pictured in 2006. (Getty)

Sandilands is suing for $85 million, with his legal team arguing that ARN had no right to fire him over his on-air conduct, given the network has spent decades profiting from his outrageous brand.

Henderson, meanwhile, has filed her own $82.25 million lawsuit alleging workplace bullying from Sandilands and a failure to provide a safe environment. Sandilands denies the allegations.

The on-air clash that derailed Kyle and Jackie’s $200 million deal

The on-air fight began after Jackie O read from Andrew Mountbatten-Windsor’s astrology birth chart and Sandilands complained about her interest in astrology charts.

“Your fixation on this has made you almost unworkable,” Sandilands told her.

“You are off with the fairies with this s—, it’s mental.”

He claimed her fixation on astrology charts made her sound like a “drug addict”.

Henderson has previously opened up on air about addiction issues that led to her going to rehabilitation in the US in 2022.

Henderson said Sandilands’ accusations were “so unfair” and that he was attacking her on air.

“I would never say things like that about you,” she said.

Kyle Sandilands and Jackie O Henderson
The duo had been in a partnership for 27 years. (KIIS FM)

“It’s a total attack, it really is. Kyle, to say ‘you don’t know what the F is going on, you’re not doing your job,’ that’s an attack and I wouldn’t do that.”

Sandilands and Henderson have been in an on-air partnership for 27 years.

They moved to breakfast in 2005 and then to KIIS in 2014.

They have been under contract in a lucrative $200 million, 10-year deal that was set to run until December 2034.

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