One of the "initial points of disagreement" in the
failed negotiations to extend the licensing deal between the
Univ. of MI (UM) and Nike was the "economic worth" of the UM
brand, as UM officials "compared the value" of UM's "brand
name to the clout of" Tiger Woods, according to Markiewicz &
George of the DETROIT FREE PRESS. Nike "didn't agree" with
the comparison, saying that "only a few sports properties in
the world command Woods-like dollars." The "Wolverines-
Woods comparison was revealed in newly released documents"
that showed the UM/Nike partnership was "marked by conflict
for some time." Markiewicz & George add that UM "tried hard
to keep the documents confidential and even withheld certain
information requested" by the Free Press, claiming that the
documents could "adversely affect negotiations" with other
companies (DETROIT FREE PRESS, 5/26).
A BOLD MOVE? In MA, Michelle Aguilar reported that
Nike's six-year licensing agreement with the Univ. of MA
expires in 2004, while UMass Chancellor David Scott
announced May 9 that the school "would join" the Worker
Rights Consortium (WRC). Both UM and the Univ. of OR have
"lost a combined" $38M from Nike in the last two months upon
joining the WRC, and UMass AD Robert Marcum said, "We've
read about Michigan and about Oregon, but that's all we've
heard. No one from Nike has contacted us." Marcum said
that Nike's $114,624 "contribution" to the men's basketball
team is "significant." Marcum: "It would be very difficult
for us to lose Nike" (DAILY HAMPSHIRE (MA) GAZETTE, 5/24).
NEVER TOO SOON: In Denver, Tom Kensler reported that
while the Univ. of CO's (UC) six-year deal with Nike expires
in June 2001, AD Dick Tharp said that the school "wants a
contract extension in place before the start" of football
season. Tharp said that "current negotiations" with Nike
"involve business issues, not 'sweat shop' issues." Kensler
noted that the deal "provides a minimum" of $500,000
annually to UC, in addition to $600,000 in equipment,
uniforms, coaches compensation, funding of summer camps and
performance bonuses (DENVER POST, 5/25).
