With one fell swoosh, Air Force has a deal

0 Comments | Gazette, The (Colorado Springs), Apr 17, 2005 | by TODD JACOBSON THE GAZETTE

The Nike swoosh is almost as prevalent on the uniforms of Air Force Academy sports teams as the lightning bolt or the Falcon.

The shoe and apparel company has had an exclusive deal with the academy to outfit the school's football team since 2002 and its 26 other varsity sports since 2001, according to contracts obtained by The Gazette through the Freedom of Information Act.

Air Force's teams and its premier coaches receive free or discounted apparel, while Nike gets sideline advertising, the right to sell Air Force clothing across the nation -- and a willing buyer for its products.

The academy previously had deals with Reebok.

"Financially we both do well," Air Force senior associate athletic director Mike Saks said. "Nike is interested because they don't come in and say we will give you 'this' and make you sell 'this.' They have confidence in their product and want you to sell it because they'll do well."

A Nike spokesman could not be reached for comment.

As part of Nike's deal with Air Force's football team, coach Fisher DeBerry receives $16,500 a year, and $30,000 worth of Nike gear he splits with his assistants.

Nike also supplies 400 T-shirts and 15 coaching shirts for DeBerry's summer camp and outfits the team's coaches with sideline gear. Nike also provides jerseys, shoes, bags, footballs and other apparel to the team.

In return, Nike's logos are visible every time the Falcons take the field. DeBerry is required to make two appearances for the apparel company and Nike can sell Air Force products across the country.

The apparel company also receives complimentary tickets to Air Force football games.

Nike has a separate deal with the academy relating to other Falcon teams and that one provides fewer perks.

Four of the school's other coaches receive free gear.

Men's basketball coach Chris Mooney, women's basketball coach Ardie McInelly, volleyball coach Penny Lucas-White and hockey coach Frank Serratore receive $2,000 in Nike products as part of the second deal.

As long as the academy spends $350,000 a year on Nike products, the school receives a $14,000 merchandise credit and wholesale prices on Nike products.

The academy buys Nike products to outfit its 26 other varsity sports teams, as well as for its summer sports camps and physical education classes.

"We are going to spend that much anyway," Saks said. "The question is, could that $350,000 be $450,000 if you don't have a deal and everyone is going different places for jerseys? It could."

Apart from those deals with the sports teams, the academy purchases Nike apparel at wholesale prices for sale in its Visitor's Center, Clune Arena gift shop and at football games.

Saks said the academy's visitor's center had $4.4 million in sales last season, and 80 percent of that came from apparel -- much of it from the sale of Nike goods.

"On the retail end of things, we buy it, but the thing that's important to us is the massive influx of what we have done over the past three years of licensing and royalty dollars," Saks said. "Nike is big in selling our products not just in our Visitor's Center but across America. Our stuff is all over this country."

Saks said royalties from Nike, other apparel companies and things such as Play-Station games have grown from $25,000 in 2002 to $250,000 in 2004. He said Nike apparel with Air Force logos make up a large chunk of those royalties.

CONTACT THE WRITER: 636-0250 or sports@gazette.com

THE DETAILS

AIR FORCE GETS

Royalties from Air Force merchandise sales across the country

Discounts on additional Nike merchandise (as long as the academy spends $350,000)

For coach Fisher DeBerry: $16,500

$30,000 in merchandise credit

400 summer camp T-shirts

15 summer camp coaching shirts

For the football team:

100 pairs of football shoes

500 pairs of receiver/linemen gloves

288 hats

250 pairs of wristbands

288 pairs of socks

50 bags

25 footballs

200 game jerseys

200 game pants

72 coach polo shirts

40 coach pants

40 coach shorts

40 pullover shells

40 full-zip jackets

40 heavy-weight jackets

36 storm-fit rainsuits

150 dri-fit T-shirts

40 sweaters

72 team travel warm-ups

50 fleece tops and bottoms

50 long-sleeved cotton mocks

For 26 other varsity sports:

$14,000 in Nike product

$2,000 in merchandise credit for men's basketball coach Chris Mooney, women's basketball coach Ardie McInelly, hockey coach Frank Serratore and volleyball coach Penny Lucas-White

WHAT NIKE GETS

Endorsement rights for Air Force football

$350,000 in guaranteed sales of merchandise, some of which Air Force re-sells

Two appearances by football coach Fisher DeBerry

Four football season tickets

40 tickets to one football home game

Six tickets to any Air Force bowl game

Two tickets and two "VIP" parking passes to home games in the school's 26 other varsity sports