Under Armor sportswear company wants to end UCLA deal
Under Armor has informed UCLA that it is considering terminating its 15-year, $ 280 million clothing and footwear contract with the university, the sportswear brand has confirmed. in a report Saturday.
The record-breaking deal dates back to May 2016, when the two sides reached an agreement that went into effect in July 2017 and ended UCLA’s previous affiliation with Adidas. The 15-year, $ 280 million contract broke the previous record for footwear and apparel contracts, beating Nike and Ohio State’s $ 252 million contract earlier that year.
In its statement, Under Armor indicated that it has not received certain marketing benefits from the Bruins’ program to which it is owed.
“Under Armor recently made the difficult decision to end our partnership with UCLA because we paid for marketing benefits that we haven’t received in a long time,” the company said. statement read, speak Los Angeles Times. “The agreement allows us to terminate in such a case and we exercise that right.”
Addressing Under Armor actions, UCLA assured Saturday that the school is working hard to stay in line with the sportswear brand.
“We are exploring all of our options to resist the actions of Under Armor,” UCLA said statement read. “We remain committed to providing our dedicated staff and student-athletes with the footwear, clothing and equipment necessary to train and compete at their highest level, as they deserve, as well as our loyal Bruin fans. .
UCLA’s track and field program is estimated at less than $ 18.9 million for fiscal 2019 after spring sports were canceled due to the coronavirus pandemic. The shortfall led the athletics program to accept an interest-bearing loan from the university.
UCLA athletic director Dan Guerrero’s 18-year tenure is expected to end this week as he is replaced by former Boston College athletic director Martin Jarmond.
Under Armor has contracts with two other Pac-12 schools — California and Utah — while Nike has partnerships with seven schools and Adidas represents two more at the conference.