Athletic apparel company Under Armour (UAA) said Saturday that it would end its partnership with the UCLA Bruins, terminating what was a record-setting NCAA deal with the major college sports program. In a statement, Under Armour claimed UCLA did not provide unspecified marketing benefits in the 15-year, $280-million deal signed in May 2016.
“Under Armour has recently made the difficult decision to discontinue our partnership with UCLA, as we have been paying for marketing benefits that we have not received for an extended time period,” the Baltimore-based company said in a statement to the Los Angeles Times. “The agreement allows us to terminate in such an event and we are exercising that right.”
UCLA said in a statement that it would fight the decision by Under Armour.
“UCLA Athletics learned this week that Under Armour is attempting to terminate its 15-year apparel and footwear contract with us and the Bruin community,” UCLA said. “We are exploring all our options to resist Under Armour’s actions. We remain committed to providing our hard-working staff and student-athletes with the footwear, apparel and equipment needed to train and compete at the highest level, as they — and our loyal Bruin fans — deserve.”
Under Armour’s deal with UCLA came after the company drew attention for a 10-year, $90 million deal with Notre Dame in September 2014. In April 2016, Under Armour signed a deal with UC Berkeley worth $85 million over 10 years.
Founded in 1996, Under Armour has struggled this year. The company saw revenue drop 23% in the first quarter.
On Friday, shares of Under Armour dropped 5.1%.