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United Agree $1.3 Billion Kit Deal with Adidas

Manchester United has confirmed that Adidas will replace Nike as their official kit manufacturer from the start of the 2015-16 season. Adidas will pay a record $128M per annum over ten years for this privilege, far in excess of United’s previous $40M Nike deal and the $53M Adidas agreed with Champion League winners Real Madrid in 2012. The German sportswear giants beat Warrior and Under Armour, as well as Nike, to win the contract.

The deal vindicates ManU Executive Vice Chairman Edward Woodward’s belief that last year’s lack of success on the pitch would not impact United’s financial power off it: “Some of our competitors haven't won the league for a long time but still sell many shirts” was his view back in February. While supporters want to see success in a league table, not in an Annual Report, it would be churlish in the extreme to thumb one’s nose at the deal: the tie-up with Adidas will go a long way in supporting the Red Devils’ on-field rebuilding (not to mention the inter-twined issue of servicing the Old Trafford debt burden). 

Following last year’s tumultuous campaign, the first few weeks of the summer will have settled some nerves around United. With the acquisitions of Ander Herrera and Luke Shaw already concluded, and a deal for Juventus midfielder Arturo Vidal thought to be close, both commercial sponsors and playing staff appear to view United’s heritage, long-term success and global fan base as enough to compensate for a lack of top-tier European football and EPL success, at least in the recent past. With Louis van Gaal due to arrive in Manchester on Wednesday, expect United to grab a few more headlines in the coming weeks.

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