The Michigan Wolverines are one valuable athletic program. Just ask the brass at Nike, who just forked over the richest deal in college sports history.
According to contract details released by the Michigan athletic department, the university’s deal with Nike is worth $169 million over 11 years, making it by far the richest of all apparel deals in collegiate athletics.
Michigan’s new Nike deal: 11 years, $169 million, includes $76.8 million in cash
— Brett McMurphy (@McMurphyESPN) July 15, 2015
The details of the contract are massive.
The contract, which will supply all 31 U‐M athletic programs with uniforms, footwear, apparel and equipment, will pay $76.8 million in cash and $80.2 million in apparel.
Running from Aug. 1, 2016 through July 31, 2027, the deal comes with an option for Michigan to sign a four-year extension through 2031.
Michigan will receive $12 million upfront, followed by $10.1 million-$10.9 million annually in cash and apparel/equipment.
The contract will pay $4.82 million per year over the first 10 years of the deal, before rising to $5.32 million the 11th year and final year. From there, U-M will have the option to sign a four-year extension worth $5.82 million per season.
For apparel and products, Michigan will receive $5.3 million in the first year of the deal. The figure will be lowered to $4.7 million in year two and rise by $100,000 per year until reaching $5.6 million in year 11. The figure will continue to rise by $100,000 in years 12-15, should U-M opt for the extension.
It breaks the $90 million that Notre Dame received for switching to Under Armour.