Under Armour tells UCLA it wants to end deal with school

LA Times ^ | June 27, 2020 | Ben Bolch

[C19fan]

Under Armour has informed UCLA that it wants to terminate the record-setting $280-million deal the apparel giant signed with the school in 2016, a potential financial blow that the Bruins intend to fight. The company said in a statement Saturday that it wanted to end the partnership because of UCLA’s inability to provide unspecified marketing benefits as required by the contract between the parties.

[C19fan]

So I guess Under Armour was not motivated by the academic quality of UCLA.

[Lockbox]

With sales and profits way down, time to cut expenses. Sorry universities but your programs are high cost and limited value when you cannot provide any exposure for the company’s products. This maybe the 1st of many cancellations, Nike next?

[beef]

Even with all the posturing and virtue signalling, all it is ever about with these companies is money. I hope the Mob turns on them.

[KarlInOhio]

$280 million for just one school? No wonder it has to sell a $1 Chinese t-shirt fot $50.

[Diana in Wisconsin]

Isn’t it kind of hard for anyone to ‘market’ Under Armor - when they wear said products UNDER other clothes? ;)

[dfwgator]

Good, it all needs to die.

[b4me]

“provide unspecified marketing benefits”

if it’s not specified, how is it to be accomplished?

[Rockingham]

Although unspecified in the press release, the marketing benefits were no doubt detailed in the sponsorship agreement. My guess is that due to a recent change in California law, UCLA’s athletes could soon demand fees in return for wearing and promoting Under Armour branded athletic apparel. Since this runs up costs and violates NCAA rules, the entire marketing deal was no longer viable.