Nike’s new CEO is talking about a 12-year deal with the NBA and WNBA as the sports giant seeks a turnaround

Nike (NKE) is aiming for a win with a big NBA and WNBA deal.

On Monday afternoon, the footwear giant announced a 12-season extension of its partnership with the two leagues, making Nike the exclusive provider of their uniforms, on-field uniforms, apparel and fan apparel. In addition, the company will continue a marketing and content partnership.

Following the announcement, Nike CEO Elliott Hill, who officially took the helm last Monday, said at an event in New York that the partnership was a sign that the company continues to “put the athlete and the consumer at the center of everything we do.” “.

“As we do this, we will come up with new and interesting ways to celebrate the game, to advance the game … and to help develop the game,” he said. Hill added that the company goes “beyond just the court to the lifestyle and culture of basketball.”

The star-studded event featured sponsored athletes including two-time NBA champion Kevin Durant and 2024 WNBA Rookie of the Year Caitlin Clark.

As part of the agreement, Nike plans to launch programs and resources for young aspiring professional basketball players, including collaborations with the Jr. NBA, Jr. WNBA, Basketball Without Borders (BWB) and the Elite Youth Basketball League (EYBL).

Jordan brand president Sarah Mensah said the move “reflects our continued commitment to evolving the game.”

“We put athletes and the game at the heart of everything we do, and this expansion serves to further motivate athletes in the shared pursuit of greatness as only NIKE, Inc. and our partners can,” she added.

Nike has been a partner of the NBA since 1992, the WNBA since its founding in 1997, and the NBA G League since the 2017-2018 season.

This is the first major announcement from Elliott Hill, a 32-year Nike veteran. Former CEO John Donahoe, who had a technical background, announced on September 20 that he planned to retire.

The executive shakeup came as the sneaker giant faced pressure from investors. Shares had fallen 20% between Jan. 13, 2020 — when Donahoe stepped in as CEO — and the market close on Sept. 19, according to Yahoo Finance data.

Shares have fallen nearly 6% over the past month. In its first-quarter financial report, Nike reported revenue that fell short of Wall Street estimates, while profit beat expectations by 18 cents. Chief Financial Officer Matthew Friend said a “comeback of this magnitude takes time.”

With Hill, faster changes could now be in sight.

Hill started as an intern and apparel sales representative in Memphis in 1988, the year the iconic slogan “Just Do It” was created. Nike’s sales at the time were about $1 billion.

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