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Nike to walk away from Manchester United

July 10, 2014 by Tony Bugby

Nike is ending its 13-year partnership with Manchester United.

The United States sportswear giant said: “The terms that were on offer for a renewed contract did not represent good value for Nike’s shareholders”.

It is understood that either Germany’s Adidas or up and coming brand Warrior – which has a deal with Liverpool FC –  will replace them.

It is thought that despite not qualifying for the forthcoming season’s Champions League competition for the first time in 19 years, United want a record £60m a year over 10 years for the deal.

Nike first signed a partnership with the club in 2002 and this week unveiled a new kit for the 2014-15 season. It will be the last one bearing the famous ‘swoosh’ logo.

Nike said: “Manchester United is a great club with passionate fans. Any partnership with a club or federation has to be mutually beneficial and the terms that were on offer for a renewed contract did not represent good value for Nike’s shareholders.

“We look forward to a successful final season with the club.”

United’s existing deal with Nike is worth £24m a year. As part of that agreement they were given a period of exclusivity to negotiate an extension and also retained the right to match any other offer.

But the company has decided against exercising either option.

If the reported figure of  £60m is accurate, it  would dwarf the estimated £31m a season Adidas pays to Champions League winner Real Madrid.

Filed Under: Manchester United Tagged With: Nike

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