The Michigan Journal | Michigan announces athletic partnership with Nike

If Nike broke operating policy to pay big for Michigan, Texas could stick with the sportswear giant, too.

The new deal begins August 1, 2016 and keeps the pair together until 2027 with an option to extend the contract through 2031.

A Monday release from the school confirmed the news.

A familiar face has returned to the University of Michigan to assist interim athletic director Jim Hackett with the day-to-day business of running the school’s athletic department.

Michigan previously partnered with Nike for 13 years before agreeing to an eight-year deal with Adidas in 2007. “NIKE is a recognized leader in its field when it comes to product innovation and we look forward to future collaboration”. With schools like Notre Dame going away from Adidas for a lesser brand in the form of Under Armour, losing Michigan to the top dog in the business is a bad look for Adidas.

The University of Michigan announced it’s partnership with Nike to become the Wolverines’ athletic provider Tuesday.

Nike takes over the supply contract for the high profile college athletics program from Adidas (ADDYY), which took over as the apparel supplier for the university from Nike in 2008. The Tennessee Volunteers did exactly that, making the same switch for 50% less cash per year and less apparel.

Hirth, who has sold at least 60 percent of the gear Adidas has made for Michigan worldwide, said he doesn’t know how much the change in brand is worth to his business, but suspects it will be “sizable” given recent input from fans. The contract also requires Michigan remain the highest-paid school associated with the brand.

OSU’s linebacker Darron Lee made a decision to pop off on Twitter about Michigan choosing Nike.