words // Brandon Richard
After missing out on Kevin Durant, Under Armour has announced a new 10-year deal with the University of Maryland. Under the terms of the new agreement, the Terrapins can collect up to $32.87 million in cash and athletic apparel from the Baltimore-based company.
Here’s a few of the other contract highlights compiled by the Baltimore Business Journal’s Mark Holan.
Maryland gets $17.125 million in payments over the 10 years, starting at $1.6 million this year and increasing annually in $25,000 increments to $1.825 million the final year.
Payments are made in quarterly installments.
NCAA sanctions against Maryland teams can lead to payment reductions of 30 percent for men's football and basketball, 15 percent for women's basketball.
Payments also can be reduced by up to 25 percent if players cover or obscure the Under Armour mark on uniforms or equipment.
Maryland gets $200,000 if its football or men's basketball teams win the NCAA national championship. A women's basketball championship nets $100,000.
The product allowance is $15.75 million over the 10 years, starting with $1.35 million this year and increasing in $50,000 increments to $1.8 million the final year.
The product allowance is based on wholesale value, plus the cost of shipping.
Under Armour gets a package of game tickets and parking passes.
The company gets exclusive retail rights to sell uniform replicas in men's, women's, youth and toddler/infant sizes.
Maryland Athletic Director Kevin Anderson signed the contract on June 18, while Under Armour CEO Kevin Plank added his name on July 31. View the full agreement here.
