MARKETING NEWS
MARKETING AND LICENSING AGREEMENTS Nike ACG and Trek Bicycle Corp. formed a strategic partnership. Trek Bicycle will become Nike ACG's official licensed maker of performance cycling footwear and apparel. Nike ACG is the division of Nike Inc. that creates footwear and apparel for mountain biking, snowboarding, water sports, trail running and cross-training. Trek Bicycle Corp. makes bicycles, components and accessories.
The 24 Hours of Le Mans sports car race signed Indianapolis-based Davey Sports Management Inc. in association with DGI Inc. of Indianapolis to handle licensing and merchandising. The companies developed a comprehensive merchandising program for the event in Le Mans, France.
SPORTS AGENCY NEWS
CLIENT SIGNINGS Evan Morgenstein of Premier Management Group signed swimmer Kristy Kowal for marketing, endorsements and public relations.
Rita Haywood of Bruce Levy Associates International Ltd. signed Erica Gomez of UCLA, Madinah Slaise of the Detroit Shock and Lithuanian national team member Aneta Kausaite for representation. Haywood also signed Tamika Whitmore of the New York Liberty for overseas representation.
TEAM DEALS
Erica McKeon of Bruce Levy Associates International Ltd. finalized a contract for German national team member Stefanie Goettsche to play for BBK Lulea in Sweden for the 2000-01 international season.
ENDORSEMENT DEALS
Athlete's Competitive Edge, a comprehensive online sports assessment and training program from Enhanced Performance Systems, signed Angie Kammer as spokeswoman. Kammer is a member of the Beach Volleyball America professional tour and a Fox Sports color commentator. Kammer will promote the company to athletes, teams and sports groups.
Rebecca Lobo of the WNBA New York Liberty was named national spokeswoman for Body 1 Inc., a company that runs a Web site linking users to information on medical technologies to treat ailments and diseases specific to body parts. Lobo sustained a torn anterior cruciate ligament that took her out for the 1999 season.
Arnold Palmer agreed to endorse Callaway Golf. Palmer will endorse and use the Callaway Rule 35 golf ball through 2012.
Soccer players Chris Albright and Sara Whalen signed multiyear endorsement deals with Goalnetwork.com, a subsidiary of Goal Media Group. Under the agreement, Goalnetwork.com will be the exclusive Web site provider for Albright and Whalen. Both athletes will write columns, host chat sessions, provide audio and video bites and answer fan mail.
FACILITY NEWS
Philadelphia-based SMG and the Pepsi Arena in Albany, N.Y., agreed to a 10-year extension for SMG to continue as facility manager. The agreement runs from 2001 through 2010. SMG has managed the arena since it opened in 1990. CHARITY NEWS
The Denver Nuggets and Colorado Avalanche Community Funds, funds of the Robert R. McCormick Tribune Co., donated more than $1.7 million to charities. Grant recipients include the American Heart Association, which received funding for youth programs that teach the importance of good physical health; the Center for Hearing, Speech and Language, which provides rehabilitation of hearing, speech and language disorders through education; the Colorado Children's Immunization Coalition, which provides free or low-cost immunizations for low-income and at-risk children; Denver Area Youth Services, which provides human services for children, youth and families; the Nuggets/Avalanche Prep League program of Denver Public Schools, which provides an organized sports league for the Denver Public Schools middle schools; Denver Works, which motivates Denver's low-income and unemployed people to become self-supporting through job preparation, placements and life-skills training; the Easter Seal Society, which improves the lives of people living with disabilities; Food Bank of the Rockies, a hunger relief program for children ages 1 to 17 with mentoring, tutoring, leadership and gang prevention programs; Hospice of Metropolitan Denver, which provides specialized care and support for terminally ill people and their families; the Kempe Children's Foundation, which provides training, education, program development and research in child abuse and neglect; Project PAVE, which provides youth with counseling and education programs; and The Adoption Exchange, which helps find families for children who have lost a parent to AIDS.The Phoenix Coyotes Goals for Kids Foundation raised $480,000 during the 1999-2000 season. Grant recipients include: Aid to Adoption of Special Kids-Arizona; the American Cancer Society, Southwest Division Inc.; the American Lung Association of Arizona; Boys Hope Girls Hope of Arizona; Horizon High School Boosters Inc.; Junior Achievement of Arizona Inc.; Tempe High Schools Education Foundation; The Tri-City Jewish Community Center; Tumbleweed Center for Youth Development; Valley of the Sun YMCA-South Scottsdale Branch; and Waste Not Inc.
The Antigua Group Inc., a manufacturer of sports apparel, donated 168 logoed shirts to the Fred Alexander Memorial Junior Golf Clinics. The junior golf clinics, hosted by The Fred and Judy Alexander Foundation, give children the opportunity and means to play golf.
BUSINESS NEWS
BUSINESS DEALS Statmaster.com, a Holland, Mich.-based Internet company that covers school sports, formed a partnership with MVP Software, a New Jersey-based software product company. MVP Software produces SportsPak, a program used by league and conference offices to schedule and manage school, league and conference game schedules.
MERGERS ANDACQUISITIONS
Potomac Enterprises acquired Mouse Products Inc. dba Team Mouse of Dallas. Team Mouse manufactures sports and entertainment computer accessories, including mouse pads, CD wallets, wrist rests, laptop computer cases and screen savers. The company has licenses with the NFL, the NHL, MLB, the NBA, NASCAR, the NCAA, CART and the Super Bowl among others. Potomac Enterprises is a category manager of licensed novelties to the food and drug industries.
Natural Golf Corp. acquired Advanced Microtech, a systems integration and Web development firm. Natural Golf has developed a system that teaches players how to produce a more powerful golf swing.
The New York Times Magazine Group signed on to be a shareholder of Liquidgolf.com. Under the agreement, Liquidgolf.com receives advertising in Golf Digest, Golf World and Golf Digest Woman and will have a presence on the golfdigest.com Web site in exchange for Liquidgolf.com stock. Orlando-based Liquidgolf.com operates a Web site offering golf equipment, news, information and specialized services.
Square Two Golf Inc. signed a letter of intent to acquire NancyLopezGolf, a golf club supplier. Under the agreement, Square Two Golf will purchase all assets of NancyLopezGolf, including its promotional agreement with Nancy Lopez, from Arnold Palmer Golf Co. The all-cash transaction is expected to be complete in August.
Churchill Downs Inc. and Duchossois Industries Inc. signed a definitive agreement for Churchill Downs to acquire Arlington International Racecourse Inc., Arlington Management Services Inc. and Turf Club of Illinois Inc. Arlington International Racecourse Inc., Arlington Management Services Inc. and Turf Club of Illinois Inc. hold and operate the Chicago-area racetrack and five off-track betting and pari-mutuel operations in Illinois. Under the agreement, Duchossois Industries receives 3.15 million shares of Churchill Downs stock and an additional 1.25 million shares if certain developments and conditions are met.
EARNINGS
First Team Sports Inc. (Nasdaq: FTSP) reported net income of $892,826, or 15 cents a share, on revenue of $15.9 million for the first quarter ended May 31. That compares with net income of $696,728, or 12 cents a share, on revenue of $14.2 million for the same period the previous year.First Team Sports manufactures and distributes in-line roller skates, ice skates, street hockey equipment and related accessories to retail and sporting goods stores.
The Stride Rite Corp. (NYSE: SRR) reported net income of $10.6 million, or 24 cents a share, on revenue of $156.5 million for the second quarter ended June 2. That compares with net income of $9.8 million, or 21 cents a share, on revenue of $166.3 million for the same period the previous year.For the six-month period, the net income was $18.1 million, or 41 cents a share, on revenue of $308.2 million. That compares with net income of $15.9 million, or 34 cents a share, on revenue of $314.4 million for the same period the previous year.Stride Rite markets and manufactures athletic and casual footwear.
Source: Street & Smith's SportsBusiness Journal research
