Michigan's Nike deal is official and worth slightly more than originally reported
Go figure that the largest university apparel deal Nike ever agreed to — at the time — was even bigger than we thought.
Originally, it was reported that Nike and Michigan agreed to a 15-year, $169 million deal that would begin on Aug. 1, 2016. As it turns out, the deal is worth $173.8 million.
The school announced that news on Tuesday. It also announced that the original deal, which was put in place 10 months ago, is now official.
Michigan will be under contract with Nike through the 2027 season and possibly through 2031 if the school agrees to an extension. The Wolverines made history as the first football team to agree to a deal with Michael Jordan’s Jumpman brand.
According to the release from the university, here are some of the elements of the deal:
- $12-million initial payment to the university, $76.8 million in total annual payments and $85 million worth of apparel
- Use of the Jumpman brand for basketball and football, which will make U-M the first Jumpman football program in the country
- Collaborating on innovation in sports technology, a pitch that intrigued former U-M interim athletic director Jim Hackett
- Three U-M student internships at Nike headquarters each summer
- Nike adhering to the Nike Code of Conduct regarding labor standards, including a list of factories where the products are made, for external monitoring
At the time of the initial agreement with Nike, the Wolverines had the largest college apparel contract ever. But since then, Texas (15-year, $200 million) and Ohio State (15-year, $252 million) both agreed to richer deals.
Still, the Wolverines have one of the most coveted apparel contracts in college sports with the Jumpman backing.