The University of Wisconsin-Madison athletic department?s licensing contract with Adidas America Inc. is about to get sweeter for both sides.
A proposal up for approval by the Board of Regents this week would extend the company?s contract to supply Wisconsin?s 23 athletic teams with equipment, apparel and footwear through 2016 and give Adidas added exclusivity.
Under the agreement, the wholesale price of goods provided by Adidas would increase from $950,000 this year to $1.3 million next year and nearly $1.38 million in 2015. The company?s annual cash payments to the department would jump from $450,000 to $850,000 next year, and to $900,000 in the final three years of the deal.