NBA

Kevin Durant Will Stay With Nike After All

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Kevin DurantSo much for Under Armour luring NBA All-Everything Oklahoma City Thunder foward Kevin Durant away with a mega endorsement deal. At the last minute Nike decided Durant was too big to lose and stepped up with a offer that topped the reported $285 million deal from Under Armour.

Nike, whose seven-year deal that guaranteed Durant $60 million is expiring, made an initial offer of about $20 million a year that was far from what Durant was looking for. Under Armour’s huge play for Durant had many believing that Nike would even let him go at that price.

Nike officials told Durant and his team at Jay Z’s Roc Nation Sports that it would indeed step up enough to allow the world’s largest shoe and apparel company to keep him in its robust stable of basketball endorsers that includes LeBron James and Kobe Bryant.

“For Nike, this was nothing to them,” Analyst Omar Saad, senior managing director of ISI’s luxury, apparel and footwear team, said. “They could easily build Durant’s business enough, assuming normal margins, where they could generate a cash flow of $60 million a year. And Nike is really good at monetizing its marketing assets, way better than anyone else.”

“KD” shoes generated $175 million at retail this past year. Thats a lot of shoes.

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