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Marketing and Sponsorship

Nike Execs Address Risks Of Sponsoring Athletes After High-Profile Terminations

Nike execs on Thursday "fielded concerns about risks in the company's athletic endorsements" at their annual shareholder meeting after several "high-profile suspensions of sponsored athletes for violent behavior," according to Sara Germano of the WALL STREET JOURNAL. The company within the past month has "terminated or suspended" the contracts of Vikings RB Adrian Peterson, former Ravens RB Ray Rice and South African sprinter Oscar Pistorius over "issues of domestic violence." One shareholder asked Nike Brand President Trevor Edwards if "recent athlete incidents change your view on sponsoring professional athletes." Edwards said the company evaluates such incidents "on a case-by-case basis, really looking at that individual situation and making sure that we make our decisions really based on the situation at hand." Germano notes Nike execs also "addressed questions more directly tied to business operations" at the meeting, which took place at the company's HQ in Oregon. Asked how the company might capitalize on shifting consumer trends in athletic apparel, Nike CEO Mark Parker said that the "plan is to drive 'performance apparel into lifestyle apparel to create a unique position for Nike'" (WALL STREET JOURNAL, 9/19).

DOUBLE STANDARD? In DC, Cindy Boren notes as the NFL "grapples with its domestic-violence crisis," U.S. women's national soccer team G Hope Solo, who has been accused of the same crime, "continues to play ...  as she awaits trial in November." Rice, Peterson, Cardinals RB Jonathan Dwyer and Panthers DE Greg Hardy were "banished after massive sponsor, political and fan pressure, but Nike, for instance, has remained silent on Solo." Journalist Roland Martin wrote on his Twitter feed, "The folks at @nike dropped @adrianpeterson but they've said not a peep about @hopesolo and domestic violence. This makes no sense" (WASHINGTONPOST.com, 9/19).

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