Michigan athletes will finally get a new look.
Nearly 10 months after the partnership was first announced, Michigan has finalized its deal with Nike for the sportswear company to provide uniforms, equipment and apparel for Michigan’s athletics programs in addition to merchandise for the general public.
Athletic Director Warde Manuel officially signed and dated the deal March 16. The original deal was announced in July 2015 and was valued at $169 million, placing it among the largest apparel deals in the country.
The deal — which goes into effect Aug. 1, 2016 — will run through at least 2027 with an option to extend the contract to 2031. Nike will pay Michigan at least $173.8 million along the way, plus incentives based on the performances of the football and men’s and women’s basketball programs.
The bonuses offered to the football team range from $10,000 for a Big Ten title game appearance to $100,000 for a national championship. For the men’s basketball team, Michigan would receive $10,000 for winning the Big Ten and $25,000 for capturing a national championship. A conference title from the women’s basketball team would give the university $5,000, while a national championship would earn $7,500.
Under the deal, the Michigan football team will be the first ever to wear Jordan Brand ‘jumpman’ apparel.
This is not the first time the two parties have done business together. Michigan signed a contract with Nike in 1994 that lasted until 2007, when the university agreed to an eight-year deal with Adidas.
Once that contract ended, Michigan began the process of finding a new outfitter, choosing between Adidas, Nike, and Under Armour.
In July 2015, interim Athletic Director Jim Hackett — Manuel’s predecessor — explained the decision to choose Nike over the other two companies.
“In the end it was obvious that it was going to be Nike,” Hackett said in July. “I found myself in the position where I could not argue the decision of picking them. Early on you could make the argument; there were some really good competitors in this mix.”