As first reported by David Teel of The Daily Press, the University of Virginia and Nike have agreed to a ten year contract extension. The agreement, which has been in place since July 1st, more than doubles the cash and the apparel that the university receives.
Under the initial agreement, Virginia was locked into an eight year deal worth 11.8 million. Now with the new contract in place, the Cavaliers will receive $35 million over ten years. In addition to a $2 million signing bonus, Nike has loaded the new agreement with performance bonus incentives, which include a $5,000 payment for a Sweet 16 berth, $10,000 for an Elite 8 berth, and $25,000 for a trip to the Final Four for Men’s basketball.
This Nike deal ensures that Virginia would not be swept away by Under Armour, who has made considerable acquisitions of late in college sports, most notably in January of 2014, when they entered into a pact with the University of Notre Dame for over $90 million.