This doesn't surprise me; I believe there was some discussion last year regarding some of the sub partners not paying what they owed on time. It's hard to be successful when your partners don't keep their word or hold up their end of a contract.
I would also think other deals were constructed based on expected revenues received. Sometimes it just better to cut dead weight and move on. Overall, this was a minor cog in PHIL's overall potential.
It stinks when people waste your time, energy and resources.