The PGA Tour and Charles Schwab yesterday announced a 20-year partnership extension, marking the longest marketing agreement in Tour history. As part of the renewed deal, the Champions Tour will be creating a playoff system beginning in '16. Other key elements of the agreement include Schwab's designation as the official investment firm of the PGA Tour and Champions Tour, plus sponsorship of the Charles Schwab Cup on the Champions Tour (PGA Tour). In Jacksonville, Garry Smits notes financial terms of the deal "were not disclosed," and details on the structure of the playoffs "will be announced at a later date." In addition to sponsorship of the points race and playoffs, the agreement "calls for Schwab to remain the official investment firm of the PGA Tour and Champions Tour and it also offers investment advice" to players on the PGA, Champions and Web.com tours. Schwab has a "relationship with the Tour" that dates back to '97 (FLORIDA TIMES-UNION, 1/21). PGA Tour Commissioner Tim Finchem and Charles Schwab Chair Chuck Schwab yesterday appeared on CNBC to formally announce the deal. Finchem said, "The reason for 20 years is it really sets the stage for [the Champions Tour], it gives the tournaments on that tour confidence. It allows the sponsorships to work more closely with the players to build the Tour." He added, "This commitment and the length of it and the uniqueness of it is great for golf." Schwab said, "We love the content of golf and the audience, and the relationships we have ... [gives] us the opportunity to take our clients out to tournaments ... and develop our relationships" with our clients. Schwab: "The reason why we signed up for another 20 years is we've actually been involved with the [Champions Tour] for now almost 20 years, so it seemed rather obvious to us we wanted to secure that position. We think this sport is very important" ("Power Lunch," CNBC, 1/20). Team Epic consulted Schwab as the company's agency of record (THE DAILY).
NOT A HARD CHOICE: In S.F., Ron Kroichick notes the Charles Schwab Cup Championship has been held three times at local course TPC Harding Park, and it "counts as a logical candidate" to host one of the new playoff events, given its "history and Schwab's involvement" (S.F. CHRONICLE, 1/21).
