Nike, Adidas join brands feeling Chinese social media heat over Xinjiang

BEIJING - Nike and Adidas came under attack on Chinese social media on Thursday over past comments the fashion brands have made about labor conditions in Xinjiang, part of a diplomatic row between China and the West.

The sportswear companies were the latest caught up in a backlash prompted by a Chinese government call to stop foreign brands from tainting China's name as internet users found statements they had made in the past on Xinjiang.

Chinese state media had singled out H&M on Wednesday over a statement reported last year where the Swedish fashion retailer said it was deeply concerned by reports of accusations of forced labour in Xinjiang, and that it did not source products from the Chinese region.

Both Nike and Adidas, which have been growing rapidly in China, have said previously that they do not source products or yarn from the Xinjiang region. Adidas declined to comment on Thursday and Nike did not respond to requests for further comment.

Earlier this week, China denied allegations of human rights abuses by its officials in the western region of Xinjiang, home to Muslim Uighurs, after the European Union, United States, Britain and Canada imposed sanctions on the officials.

Beijing hit back with retaliatory sanctions on European lawmakers, scholars and institutions.

Some internet users said they would stop buying Nike and will support local brands such as Li Ning and Anta, while others told Adidas to leave China.

The dispute creates a dilemma for Western companies who must balance the desire to expand their business in China against the views of consumers in their home markets.

"Brands must not rescind on their human rights responsibilities in the face of this pressure," said Chloe Cranston of Anti-Slavery International, a member of the Coalition to End Forced Labour in the Uighur Region.

BOYCOTT CALLS

Shares of Anta Sports Products Ltd and Li Ning Co surged, while shares in Adidas, Inditex and H&M fell on Thursday.

State tabloid Global Times said Spain's Inditex, owner of Zara, had "quietly removed" a statement on Xinjiang from its English and Spanish-language websites.

An Inditex webpage stating that the company was highly concerned about reports alleging social and labour malpractice in various supply chains among ethnic Uighurs in Xinjiang was live on March 24, a Google cache showed, but now appears to be unavailable.

Inditex did not respond to a request for comment. Inditex has previously said it does not have any commercial relations in Xinjiang.

Chinese internet users also targeted the Better Cotton Initiative (BCI), a group that promotes sustainable cotton production which said in October it was suspending its approval of cotton sourced from Xinjiang, citing human rights concerns.

BCI members include Nike, Adidas, H&M and Japan's Fast Retailing. The Better Cotton Initiative website also stopped working on Thursday. The organization did not respond to a request for comment.

"If you boycott Xinjiang cotton, we'll boycott you. Either Adidas quits BCI, or get out of China," one internet user wrote.

H&M said on Wednesday it respected Chinese consumers and that it was committed to long-term investment and development in China.

But by Thursday morning, H&M did not exist on some Chinese store locator maps. Searches for H&M stores on Baidu Maps yielded no results. The retailer's official store on Alibaba's Tmall, an e-commerce platform, was inaccessible.

At a daily media briefing at China's foreign ministry, spokeswoman Hua Chunying, when asked about H&M, held up a photograph of Black Americans picking cotton.

"This was in the US when Black slaves were forced to pick cotton in the fields," she said.

Hua then held up a second photograph of cotton fields in Xinjiang.

"More than 40 percent of the cotton in Xinjiang is harvested by machinery, so the alleged forced labour is non-existent."

-reuters-

Adidas mulling sale of Reebok

FRANKFURT - German sportswear giant Adidas said Monday it was mulling a sale of its long-struggling US subsidiary Reebok.

"Adidas has begun to assess strategic alternatives for Reebok," the company said in a statement, adding these "include both a potential sale of Reebok as well as Reebok remaining a part of the company".

A decision will be announced on March 10, it added, when the group will present a new five-year strategy.

Adidas acquired Boston-based Reebok in 2006 for 3.1 billion euros ($3.8 billion) to take on US rival Nike. But the brand has struggled to grow under its German owner, frequently fueling speculation of a sale.

The brand is now worth only 803 million euros, after several accounting write-downs, the last of which occurred in August after a 42 percent drop in sales in the second quarter to 228 million euros.

Germany's Manager Magazin reported in October that China's Anta Sports and North Face owner VF Corp. were interested in acquiring Reebok.

As far back as 2017, Adidas chief executive Kasper Rorsted had to face down shareholders calling for the sale of then loss-making Reebok.

A turnaround plan initiated in 2016 reversed declining sales by 2019, before the pandemic forced store closures and halted the momentum.

At the peak of the coronavirus restrictions in the second quarter, the Adidas group was forced to close around 70 percent of its stores worldwide. 

With sales of 1.75 billion euros in 2019, up two percent on the year before, Reebok accounted for just a fraction of the Adidas group's 23.6 billion euros in revenues last year.

Adidas at 1430 GMT traded up almost 1.7 percent at 288 euros on news of a potential sale, compared with a 1.0 percent rise in Frankfurt's blue-chip Dax index as a whole.

Agence France-Presse

Nike says "Don't Do It" on racism

SAN FRANCISCO -- Nike has taken a stand against racism with a "Don't do it" campaign, a twist on its famous catch phrase, as protests against police brutality spread across the United States.

"For once, Don't Do It... Don't pretend there's not a problem in America," the US sports apparel giant said in a video posted to Twitter late Friday.


The message came as protesters across the United States took to the streets against the treatment of George Floyd, an African American who died in the hands of police in Minneapolis earlier this week.

In a rare sign of solidarity, competitor Adidas retweeted the video, with a message stating: "Together is how we move forward. Together is how we make change."

Floyd's death on Monday was captured in a horrifying cellphone video now seen around the world, in which a white police officer pressed his knee on Floyd's neck for nearly nine minutes until well after he went motionless, while three other officers stood by.

"Don't turn your back on racism. Don't accept innocent lives being taken from us. Don't make any more excuses. Don't think this doesn't affect you," Nike said in the video, in which white words appear across a black background. 

The campaign hardly marks the first time Nike, whose "Just Do It" slogan is known worldwide, has waded into US social justice issues.

In September 2018, Nike made waves when it released an advertising campaign featuring US football player and activist Colin Kaepernick, criticized for kneeling during the US national anthem at games in protest at racism.

Agence France-Presse

Adidas bets on recycled material 'to combat ocean plastic'

FRANKFURT AM MAIN - German sportswear giant Adidas said Tuesday more than half of the polyester used in its products this year would come from recycled material, including millions of shoes made from plastic waste.

In 2020, the share of recycled polyester in Adidas products will "exceed 50 percent for the first time", the company said in a statement.

By 2024, Adidas "is committed to using only recycled polyester" across its entire range of shoes, clothing and other items like bags and shin guards.

The Bavarian company also said it aimed to churn out 15 to 20 million pairs of shoes in 2020 using recycled plastic waste collected "from beaches and coastal regions".

The group already sold more than 11 million such pairs last year -- still just a fraction of the more than 400 million pairs of shoes it makes annually.

Adidas said it was committed to battling the scourge of plastic waste "to stop the pollution of the world's oceans".

The firm's first running shoe made entirely from recycled materials, the "Futurecraft Loop", is set to hit stores in 2021.

Since 2015, it has collaborated with environmental organisation Parley for the Oceans on a range of products, including football shirts for major clubs such as Real Madrid and Bayern Munich. 

Agence France-Presse

Adidas has eyes on 2019 finish line after Q3 profit slip

FRANKFURT -- German sportswear maker Adidas said Wednesday it was confident of hitting full-year financial targets after a profit slip in the third quarter, buoyed by fast-rising sales.

In July-September, Adidas' bottom line fell back 1.8 percent year-on-year, to 646 million euros ($715 million), slightly beating forecasts from analysts surveyed by Factset.

But revenues surged 9.1 percent to 6.4 billion euros.

Double-digit growth in China and North America was Adidas' biggest sales driver, while Europe inched up more tentatively.

Its flagship brand with the three stripes sold 6 percent more even in a year without mammoth sporting events, while struggling US subsidiary Reebok also lifted sales slightly.

Meanwhile growth in online sales slowed to 14 percent in the third quarter, compared with 76 percent a year before.

Despite the growth, operating, or underlying profit at Adidas also fell back, shedding 0.3 percent to reach 897 million euros.

The operating result was weighed down by advertising costs as the company looks to rev up sales in the second half of the year.

"We confirm our full-year outlook and remain confident about a significant top-line acceleration during the fourth quarter," chief executive Kasper Rorsted said in a statement.

The Bavarian group expects to make net profits between 1.88 and 1.95 billion euros this year, up between 10 and 14 percent on 2018's result.

source: news.abs-cbn.com

Major fashion companies to make G7 pledge to help environment

PARIS - Major fashion companies from around the world said on Friday they had signed a pact which they would present at this week's G7 summit to help protect the environment.

The pact has been signed by 32 companies including the likes of Adidas, Burberry, Kering, Hermes, LVMH and Nike.

Protecting the environment will be a leading issue at the G7, with French President Emmanuel Macron and United Nations Secretary General António Guterres having expressed concern this week over wildfires raging through the Amazon.

source: news.abs-cbn.com

Adidas fears 'everybody will lose' in US-China currency war

FRANKFURT AM MAIN - German sportswear maker Adidas warned Thursday that "everybody will lose" if a currency war ignites between China, the United States, and other countries, while reporting continued strong earnings in its second quarter.

American tariffs on Chinese goods -- with another $300 billion in imports targeted by President Donald Trump last week -- are less harmful to the brand with the three stripes than a potential exchange rate battle, chief executive Kasper Rorsted said.

"What is much more severe is that we start to have a currency war between China, the US and the rest of the world, that's going to be a situation where everybody will lose," he told journalists in a telephone conference.

Since the tariffs announcement, Beijing has allowed the yuan to sink below a seven-to-the-dollar lower bound its central bank had previously defended, prompting the US Treasury Department to cry currency manipulation.

"Currency war will over time slow the economy down," Adidas chief Rorsted predicted, as well as imposing a "severe impact" on global businesses like the shoes and sportswear maker.

Weaker exchange rates against the euro would batter Adidas' sales and profitability through the conversion into its home currency, as the US and Chinese markets combined account for 45 percent of revenue.

SPRINTING AHEAD

For now, the Bavarian group says its strong growth continued into the second quarter, seeing its biggest problems in overcoming bottlenecks in its supply chain.

Net profit at the Bavarian group added 34 percent over April-June 2018, reaching 531 million euros ($595 million) to beat analysts' forecasts.

Revenues grew by 4.7 percent to 5.5 billion euros, making for an operating profit up 8.6 percent at 643 million euros.

Sales at the flagship Adidas brand were up four percent thanks to its "sport inspired" streetwear, while its "performance" sportswear fell back in comparison with 2018's football World Cup-powered revenues.

Long-struggling American subsidiary Reebok returned to growth in sales in the second quarter, adding three percent thanks to its "classics" line.

The unit also returned to profitability, Rorsted said.

Adidas' online direct sales business grew 37 percent, while in its different regions only China saw double-digit growth.

North America picked up the pace of sales expansion as the group managed to overcome supply bottlenecks for in-demand products, while sales in Europe held steady.

Adidas' closely-watched gross margin increased 1.2 percentage points, to 53.5 percent, a slower pace than in the previous quarter.

"Higher air freight costs to mitigate the supply chain shortages and a less favorable pricing mix" weighed on profitability, the group said.

Looking ahead, the group stuck to its 2019 forecasts for sales growth between five and eight percent, adjusted for currency effects.

Its gross margin should increase to 52 percent and net profit come in between 1.88 and 1.95 billion euros.

source: news.abs-cbn.com

Adidas, Nike, PUMA say new tariffs on China would be 'catastrophic'

WASHINGTON -- Adidas, Nike and PUMA on Tuesday urged US President Donald Trump to prevent the shoe industry from falling victim to the trade war with China, saying new tariffs could be "catastrophic."

In a letter to Trump, those big name manufacturers joined forces with more than 170 other American shoe manufacturers and retailers calling for footwear to be exempted from a new round of punitive tariffs on $300 billion in Chinese goods.

In the escalating trade war with Beijing, Trump this month increased existing tariffs on $200 billion in Chinese imports to 25 percent, and is threatening to extend those duties to nearly all Chinese products imported into the United States.

That would mean additional taxes on a range of consumer goods, including electronics and clothing, such as athletic shoes and iPhones, which has sparked fear in retailers and producers who rely on goods from China.

"The proposed additional tariff of 25 percent on footwear would be catastrophic for our consumers, our companies, and the American economy as a whole," the letter from the shoe coalition states. 

The firms said the industry already pays $3 billion in duties and that additional tariffs would increase costs and prices.

US CONSUMERS PAY THE PRICE

"There should be no misunderstanding that US consumers pay for tariffs on products that are imported," the companies said, refuting Trump's frequent erroneous statement that China pays the tariffs, creating a windfall for the US Treasury.

While Trump has called on industries to move away from China or produce their products in the United States, the shoe industry firms said they need "years of planning... to make sourcing decisions and companies cannot simply move factories to adjust to these changes."

The shoe industry -- including other names like Reebok, Ariat and Crocs, as well as retailers like Foot Locker -- is the latest to wade into the debate. 

While many companies and industries want to see changes in China's policies, including resolving the issue of theft of US technology, they oppose using tariffs as the primary weapon.

In a letter just after the new tariffs were announced, a group of 17 industry groups urged Trump to reconsider, given their reliance on China for goods.

"In 2017, China accounted for about 41 percent of all apparel, 72 percent of all footwear, and 84 percent of all travel goods imported into the United States," the letter said.

The US Trade Representative's office published a list of products that would be targeted by new tariffs, and has called for public comment, including a hearing set for June 17.

In prior rounds of tariffs, the White House granted exemptions for some critical products at the request of US industries.

source: news.abs-cbn.com

Kanye West unveils new Yeezy line during New York Fashion Week

NEW YORK -- Three months after being hospitalized for exhaustion, rapper Kanye West made his first major public appearance on Wednesday, turning up for his Yeezy fashion show during New York Fashion Week.

With his wife Kim Kardashian West in the front row next to Vogue editor in chief Anna Wintour, West debuted the fifth season of his high-end athleisure wear collection for Adidas to the fashion world's elite.

The show, which has become one of the most exclusive presentations during recent fashion weeks, was not live-streamed on the music streaming website TIDAL as some of West's shows have been in the past.

Many social media users expressed their frustrations when they learned they would not be able to watch online, but critics were positive about the 39-year-old singer's latest runway show, saying the emphasis was on his new collection, rather than him.

"To me it felt like the most traditional fashion show that he's done," said Rickie De Sole, W Magazine's fashion market and accessories director, who was at the show.

"It had a polish to it. It felt like a serious fashion show. It felt substantial and there was less hoopla. It really was all about the fashion," De Sole added.

The collection was dominated by denim, high-waisted jeans, hoodie sweatshirts, baseball caps, cargo pants, knee-high boots and, of course, sneakers.

Muslim model Halima Aden, the 19-year-old Somali-American who competed for Miss Minnesota wearing a burkini and who recently scored a major modeling contract with talent agency IMG, strutted the catwalk wearing a floor-length fur coat and a hijab.

Buzz had been building around the appearance of the so-called "Yeezy Runner" after West was photographed wearing the oversized white sneakers by paparazzi in January.

Kardashian appeared in athleisure wear herself, a sleeveless, see-through turtle neck shirt, track pants and an over-sized winter coat, all of which were maroon.

During the presentation, there were roughly 150 posts per minute about the Yeezy line on Twitter, according to social media analytics firm Zoomph.

The "Jesus Walks" singer emerged as one of Donald Trump's most high-profile supporters during the 2016 election campaign and met the then president-elect at Trump Tower in New York on Dec. 13, making him the target of outrage and sarcasm from fans on social media.

(Reporting by Melissa Fares and Gina Cherelus in New York; Editing by Tom Brown)

source: news.abs-cbn.com

Nike's stock falls behind rivals amid Rio Olympics

SAN FRANCISCO - Nike has top billing among sports brands at the Rio Olympics, but a week into the Games, its stock is losing to Adidas and Under Armour.

The quadrennial global sports event exposes apparel brands worn by top athletes to hundreds of millions of viewers, but growing competition and higher costs may be reducing the benefits of major endorsement deals.

Since the Summer Olympics started last week, shares of official games sponsor Nike had gained 1.0 percent as of Friday. But rival stocks have dashed ahead, with Under Armour up almost 3 percent and Adidas nearly 6 percent, after a strong quarterly report.

Neither Adidas nor Under Armour are official Olympics sponsors. But Under Armour sponsors about 250 athletes, including U.S. swimming legend Michael Phelps. Adidas supplies uniforms to teams including Britain and Germany, and it is releasing special-edition sneakers lined in bronze, silver and gold.

Shares of Nike, which also sponsors the U.S. team, had delivered strong Summer Olympics performances until the last two Games.

The stock surged by a range of 4 percent to 19 percent during the six summer Games from 1984 to 2004. But it fell almost 3 percent during the 2008 Olympics in Beijing and the same amount during the 2012 Games in London, according to Bespoke Investment Group.

Under Armour listed its shares in 2005.

"You have increased competition. Under Armour is a public company out there now competing for more sponsorships. It's more expensive for the companies involved," said Bespoke co-founder Paul Hickey.

Following Thursday's gold-medal performances from Phelps and U.S. gymnast Simone Biles, the next couple of days may be climactic for investors rooting for the shares of Nike and Dick's Sporting Goods, the official retailer of U.S. team T-shirts and other apparel.

"This might be the weekend when people go out to stores, because last night was the most excitement I've had so far," said TD Ameritrade Chief Market Strategist JJ Kinahan, who is tracking the stock performance of 24 Olympics sponsors.

So far, Nike has seen a "positive reaction" to its Olympics-related products sold through its own stores and by its wholesale partners, Nike spokesman Brian Strong told Reuters.

Ralph Lauren shares surged 12 percent this week after the U.S. team appeared at Friday's opening ceremony sporting uniforms it designed, emblazoned with the company's logo.

Shares of Adidas hit a record high on Thursday after the German company earlier this month posted its highest second-quarter sales growth in a decade. Expansion is being fueled by its Originals fashion business as well as soccer and running gear.

Nike, feeling the heat from Adidas, Under Armour and rivals in China, disappointed Wall Street with its most recent quarterly scorecard in late June. While its shares have gained 6 percent since, they remain down 10 percent in 2016, making Nike the worst performer in the Dow Jones industrial average.

source: www.abs-cbnnews.com

FOOTBALL: Adidas sets sights on football stars in big U.S. drive

BERLIN - Adidas wants to sign dozens of deals with U.S. sports stars in coming years, hoping that will provide a more lasting boost to sales than the current fashion fad for its retro sneakers, its North America head told Reuters.

Since falling into third place in the United States behind Nike and Under Armour, the German firm has regained some ground in recent months after raising marketing spending in the world's top sportswear market.

Mark King has put a big focus on signing top athletes in sports like American football, basketball and baseball since he took over as president of the region for Adidas in 2014, after more than a decade running the company's golf business.

He said Adidas wants to sponsor 250 National Football League (NFL) players by 2020, up from 95 now, plus 100 National Basketball Association players (NBA), up from about 70 now.

"When you do well in football in the United States, it is like doing well in soccer in Germany," King, an American who appeared as a business role model on reality show "The Apprentice", said in a phone interview.

"The more grounded that we are in America, in American sports, the more success we're going to have."

Adidas this month reported a 31 percent jump in first-quarter sales of its core brand in North America, driven by the popularity of retro shoes such as Superstar and Stan Smith.

But some analysts are concerned that the company could be left exposed to the fickle winds of fashion fads if it does not do more to establish its credentials in U.S. sports.

"The risk is that it is very easy to make the brand tired when focusing too much on fashion. Adidas is definitely hot in the United States now, but it is hot in fashion and fashion can fade away," said Berenberg analyst Zuzanna Pusz.

'WINNING LOCKER ROOM'

King said he was firmly focused on "winning the locker room" but wants to tie performance and lifestyle together: "We're a brand that can take care of you when you play your game and we can also make you look cool when you come off the pitch."

Adidas has already lured some top athletes away from Nike, including Aaron Rodgers of the Green Bay Packers football team and James Harden of the Houston Rockets, helping the brand regain popularity among its main target audience of 14-18 year-olds.

The drive to sign hundreds of U.S. sports stars comes at a time that Nike is threatening Adidas' dominance in the soccer business, reportedly being on the brink of replacing the German firm as shirt sponsors for English side Chelsea.

King said Adidas' market share for American football cleats, or studded shoes, had already risen significantly, helped by a partnership with rapper Snoop Dogg who launched eye-catching shoes in March with a dollar bill pattern and shiny gold soles.

While basketball is proving tougher, King said he was also optimistic. He said many retailers were keen to help the German firm break Nike's stranglehold on the sport and players were enthusiastic about his company's springy "Boost" shoe soles.

Nike's share of the U.S. sportswear market rose to 21.1 percent in 2015 from 20.1 percent in 2014, while Under Armour was up at 3.9 percent from 3.5 percent and Adidas rose to 3.4 percent from 3.3 percent, according to Euromonitor data.

Adidas fell behind Under Armour in 2014 after spending years in the No.2 spot behind leader Nike.

After years of trying to steer its U.S. business from its headquarters in southern Germany, Adidas has given King more autonomy and has moved top executives, marketers and designers to the firm's U.S. base in Portland, also home to Nike.

It is designing more shoes specifically for the U.S. market and has poached three top footwear designers from Nike, who will run a new creative studio in Brooklyn, New York, to be opened in September.

Adidas has already had strong feedback from retailers for running models due to hit stores early next year and priced at between $80 and $100, less expensive than most of its shoes.

King said these lower-priced running shoes would be a major driver of growth for the company. "Retail customers are starting to feel like Adidas is part of the American business and not imported from somewhere outside." (Editing by Pravin Char)

source: www.abs-cbnnews.com

Adidas takes new shot at US market with NBA Harden deal

FRANKFURT, Germany -- NBA star James Harden will soon be dribbling the ball with Adidas sneakers on his feet as the German sportswear maker hopes to retake US market share from basketball giant Nike and number two Under Armour.

Signing up the Houston Rockets guard in a reported 13-year, $200 million (180 million euro) deal aims to make Adidas trendy in a market where it has been caught flat-footed before.

Charismatic Harden, 25, known as "The Beard" to his fans and voted the NBA's second best player last season, will switch from Nike to wear Adidas shoes on the court, and its gear in social settings, from October.

Adidas has stayed quiet about the sum reported by ESPN, but confirms it is taking a big bet on basketball.

"His connection with the fans is unique and unprecedented," an Adidas spokesman told AFP, noting that the salary will be linked to athletic performance. "He can take the game and our brand to new heights."

In a market where teenagers love custom sneakers, Adidas is taking on number one Nike, which already sponsors superstars LeBron James, Kevin Durant and Kobe Bryant.

"Adidas is changing its marketing strategy," said Cedric Rossi, an analyst at investment bank Bryan Garnier.

"It no longer sponsors the NBA league, but it is backing a few key players ... Consumers associate and identify with these stars much more easily."

Nike will, meanwhile, take over from Adidas as NBA's official apparel supplier from the 2016-17 season.

From then, Adidas will reallocate the $10 million a year it paid to the league to individual players, said Rossi, explaining the value of Harden's contract.

"We must not forget that it is for about 13 years. In the end, he makes $15 million a year."

- Autonomy in the US –

Adidas pulled out its chequebook because the stakes are high for CEO Herbert Hainer, who is under pressure from shareholders.

The sportswear maker was relegated last year to number three rank in the US market, behind newcomer Under Armour.

Adidas, a giant in football-obsessed Germany, presented a new strategy in March for the market across the Atlantic.

"The United States has always been a problem," even in the time of Robert Louis-Dreyfus, its former chief, recalls an ex-company executive.

"The view of Adidas has always been a European vision on the US market ... We never allowed the US to work as entrepreneurs."

He said this could have included adapting its marketing strategy and, for example, investing in university sports.

The company's previous costly mistakes, made from its headquarters in Herzogenaurach in southern Germany, have included declining in 1984 to sign up Michael Jordan, then a rising star, the former executive said.

Adidas has also had trouble with the integration of Reebok, acquired in 2005 in a deal that is just starting to bear fruit in the fitness sector.

The German company has started to shift course and in 2014 brought in American Mark King as head of the North America region.

Product design is now done in the United States, and King has a free hand in marketing campaigns, with plans to sponsor 500 athletes from American football and baseball.

"The American subsidiary gained independence and it was essential," said Rossi, who said Adidas made "the right steps" in the US, where sales rose three percent in this year's first half.

"Now we expect a growth in turnover."

source: www.abs-cbnnews.com

Nike to replace Adidas in NBA clothing deal

NEW YORK -- Sporting goods giant Nike reached an eight-year deal Wednesday to become the exclusive on-court apparel provider for the NBA.

The contract takes effect in the 2017-2018 season, replacing a deal between the National Basketball Association and Adidas, which expires after the 2016-2017 season.

"This partnership with Nike represents a new paradigm in the structure of our global merchandising business," said NBA Commissioner Adam Silver.

"As our exclusive on-court apparel provider, Nike will be instrumental in our collective efforts to grow the game globally while applying the latest in technology to the design of our uniforms and on-court products."

Nike has targeted basketball as a major growth business due in part to surging interest in the sport in major emerging economies, especially China.

In 2014, Nike's revenues from basketball rose 19 percent to $3.1 billion, about 11 percent of total sales.

Nike already sponsors many leading basketball stars, including LeBron James, who Tuesday led the Cleveland Cavaliers to a 2-1 lead in the NBA finals against the Golden State Warriors.

In after-hours trade, Nike shares rose 0.8 percen to $104.19.

source: www.abs-cbnnews.com

Over 150,000 pairs of fake Nike, Adidas shoes destroyed

MANILA, Philippines - Over 150,000 pairs of counterfeit Nike, Adidas and Converse shoes, as well as other popular footwear brands, were destroyed by the Bureau of Customs on Tuesday.

In a statement, the BOC said the thousands of China-made fake shoes, worth an estimated P50 million, were smuggled into the country last year.

The haul of fake Nike, Adidas, Converse, Sketchers, Northface, Leaveland, Merelle, Lacoste, Vans, Havaianas, and Ipanema products were seized from a warehouse in Olivares Compound in Parañaque City last February 2014.

"These counterfeit shoes and slippers were smuggled from China and were part of a big raid we had last year inside the Olivarez Compound in Parañaque City. We seized the warehouse to check the legality of the importation of goods but the owner failed to produce proof of payment of duties and taxes from Customs, consequently, the warehouse was padlocked and sealed for BOC custody," Customs Commissioner John P. Sevilla said.

The one-year gap between the seizure and the actual destruction of the smuggled products was attributed to the long process that included issuance of subpoenas to the concerned consignees and brokers, the need to secure the involvement of brand owners, and the conduct of hearings in accordance with existing regulations.

Sevilla said the shipments were subject to a series of hearings, but the claimant did not send any representative. This means the fake items have been forfeited and should be destroyed.

The BOC chief said the agency destroyed the fake products so it would not find its way in the market.

“We will not allow the Philippines to be a dumping ground of counterfeit goods. The BOC will ensure that manufacturers and distributors of genuine brands are protected. We are urging the public not to buy counterfeit products. Tigilan na po natin ito. Kapag wala pong tumatangkilik wala din pong bibili ng fake," Sevilla said.

Last April 2014, the BOC also destroyed more than 200 boxes of shoes imported from China after they were found to be fake at the Port of Davao.

source: www.abs-cbnnews.com

Shopping shorts: Where to buy stylish, comfy shoes

MANILA – Looking for a pair of comfortable yet stylish shoes to add to your collection? Here are some new items that you may want to check out.

These are not endorsed by ABS-CBNnews.com.

Superstar 80s shoes from Adidas

Sportswear brand Adidas has launched its Superstar 80s Pioneer Pack, which features collaborations with skater Mark “Gonz” Gonzales and designer NIGO.

Adidas Originals Superstar 80s by Gonz features an all-white leather upper and a set of markers, inviting the wearer to leave his or her own mark on the sneakers.

On the other hand, the Adidas Originals Superstar 80s by NIGO has the designer’s “Grand Slam” print, which pays homage to sportswear.

Both sneakers are available in Adidas stores, Sneakpeek, Sole Academy and NBA Store at P4,995 each.

Colorful flip-flops from Ipanema

Flip-flop brand Ipanema is encouraging Filipinos to wear their “lucky” colors in the coming Year of the Sheep through their latest collection.

The brand’s flip-flops and sandals come in different colors and designs, each “ergonomically shaped to hug your feet so that they provide comfort when you walk,” said Francisco Elizalde, president of ELRO Retail Corp., which distributes Ipanema products in the Philippines.

Ipanema items are available in the Ipanema Store, Bambu Stores, SM Department Stores, Robinsons Department Stores, Shoe Salon, Landmark, Cinderella, Flatshop and other leading boutiques nationwide.

‘Date night’ shoes from Grendha

Grendha is offering ladies some comfortable shoes that they can use on dates, whether it’s an out-of-town trip or a fancy dinner.

From flats to platform shoes and slip-ons, Grendha’s newest designs put the modern fashionista’s needs in the limelight without sacrificing comfort.

From February to May 14, 2015, those who have a single receipt worth at least P2,500 of Grendha footwear from participating department stores can get a limited edition purse.

For more information, visit Grendha Philippines’ Facebook page.

source: www.abs-cbnnews.com

Manchester United agree record $1.3-B Adidas kit deal

LONDON - Adidas AG will pay a record 750 million pounds ($1.3 billion) to supply Manchester United with shirts and kit, underlining the enduring pulling power of the former English soccer champions despite a dismal last season.

The 10-year agreement announced on Monday is a world record for a soccer club and more than double the previous biggest, a 31 million pounds-a-year deal the German sportswear company is reported to have with Spanish side Real Madrid.

Its total value is also just 40 million pounds less than United's owners the Glazer family paid for the club in 2005, highlighting how it will help to underwrite the rebuilding of the team under new manager Louis van Gaal.

The Dutchman takes charge of the Old Trafford club on Wednesday just days after leading the Netherlands to third place at the World Cup.

Nike, the world's largest sportswear group, had sponsored United since 2002 but earlier this month pulled out of a bidding war with Adidas, meaning the 2014-15 season will be the U.S. firm's last as a partner of the 20-time English champions.

Adidas, which also has similar deals with elite European clubs including England's Chelsea, Germany's Bayern Munich and Italy's AC Milan, takes over the contract from 2015/16.

The deal with arguably the world's most popular team is a coup for the German firm, protecting its leading position in a soccer market in which Nike has made strong inroads over the last 20 years.

"This collaboration marks a milestone for us when it comes to merchandising potential. We expect total sales to reach 1.5 billion pounds during the duration of our partnership," Adidas chief executive Herbert Hainer said in a statement.

Its lucrative value also points to the continued prominence of the United brand despite a 2013/4 campaign - its first without influential manager Alex Ferguson who retired after 26 years in May 2013 - that saw the club finish seventh in the league and miss out on a Champions League spot for the first time in 19 years.

The allure of the club's famous red shirts, worn by millions around the globe, had already helped persuade General Motors to put its Chevrolet brand on the team's jerseys in a deal worth $559 million that will run until 2021.

That agreement - double the going rate for most major European teams - will see Chevrolet on the front of United shirts from this season in Nike's swansong campaign.

Van Gaal, who replaces David Moyes as manager after the Scot parted company with the club less than 10 months into his tenure, will spend two days at United's training complex before flying to Los Angeles with the team on Friday.

Nike was also recently replaced by United's league rivals Arsenal, who have signed a kit supplier deal with Germany's Puma , the third-ranked company in the market, worth a reported 30 million pounds a year.

Shares in Adidas were up 2.5 percent to 73.31 euros at 1332 GMT, with United shares flat at $17.8.

($1 = 0.5877 British Pounds) (Editing by Kate Holton and John Stonestreet)

source: www.abs-cbnnews.com

Tweet your way to the World Cup with online game

MANILA -- Germany-based shoemaker adidas has recently launched an online game, featuring FIFA World Player of the Year winner Lionel Messi, which could be your ticket to this summer's World Cup.

The new game, Fast or Fail, which also celebrates adidas' new boot adizero f50 boot, has a fairly simple premise: run as fast as you can because "only the fastest goes to Rio."

Playable on both desktop and phone browsers, the online game tests a player's ability to emulate Messi's often hailed dribbling skills, skipping past defenders en route to goal.

Those able to do so will get a chance to win a trip to Rio de Janerio, Brazil, where the 2014 FIFA World Cup is scheduled to be held starting June 12.

The game has a catch, however. It relies heavily on social media buzz from one's location -- from both Twitter and Facebook --meaning the more tweets and posts about the Argentinian, the faster he goes in-game and the more chances to win the competition.

Currently, the top spot is occupied by user sourish g. from India, which boasts a record time of 2 minutes and 41 seconds.

The winner gets two tickets, as well as travel and accommodations, to the first Argentina game of this year's World Cup against Bosnia-Herzegovina on June 15.

The Fast or Fail game can be played and downloaded on www.adidas.com/fastorfail. A full list of terms and conditions can also be found on the site.

For further information follow www.facebook.com/teammessi or join the conversation on twitter @teammessi.

source: www.abs-cbnnews.com

Jeremy Lin lands endorsement deal with adidas

MANILA, Philippines – Houston Rockets star Jeremy Lin has landed an endorsement deal with adidas, joining the apparel company’s basketball roster that includes seven-time NBA All-Star Dwight Howard and Chicago Bull’s superstar Derrick Rose.

On Monday (Tuesday, Manila time), adidas announced its partnership with Lin, who first turned heads while playing for the New York Knicks.

“I’m really excited to join the adidas family,” Lin said in a statement. “They’ve changed the game with new technology and style and I can’t wait to be a part of it.”

Unheralded as a high school player, undrafted from Harvard University and cut twice from NBA rosters, Lin made global headlines when he led the New York Knicks to an improbable seven game winning streak in 2012.

Dubbed “Linsanity,” his rise to stardom was fueled by elite playmaking ability and clutch shooting as he became the only NBA player in modern history to tally 20 points and seven assists in his first five starts.

“Jeremy’s relentless drive, passion for the game and background of leading winning teams throughout his career makes him a perfect fit for the adidas brand,” said Chris Grancio, adidas head of global basketball sports marketing.

The first Asian-American player in the NBA, Lin joined the Houston Rockets in 2012 and has helped them become one of the Western Conference’s top teams while averaging over 14 points, four assists and two rebounds per game this season.

Lin will be featured in a variety of upcoming adidas marketing initiatives and will play a role in the development of basketball footwear and apparel.

Other adidas athletes include WNBA MVP Candace Parker, FIFA World Player of the Year Lionel Messi FC Barcelona and six-time tennis Grand Slam singles champion Novak Djokovic.

source: www.abs-cbnnews.com

Adidas unveils smartwatch for runners

MANILA - German sportswear manufacturer adidas unveiled its company's first entry into the world of smartwatches with a device that boasts to have everything a runner needs.


The miCoach Smart Run, priced at P19,995, enables runners to track their runs using GPS mapping, monitor their heart rate directly from their wrist, get real-time coaching advice and even play their favorite tunes.

"By combining the latest innovations, such as the Mio Wrist Based Continuous Heart Rate Technology, design and ease of use navigation, we consciously defied the rules that define other running watches," said Simon Drabble, director of miCoach at adidas.

The Android-powered smartwatch also features the miCoach system which can be synced with adidas' web platform through WLAN to make personalizing workout sessions more easier.

"As part of the miCoach training system, it truly unlocks the runner’s full potential by making smart training easy and accessible. Whether you’re starting a new running program, training for a 10k or competing in another marathon, miCoach SMART RUN will make your training more efficient so you get the results you want,” added Drabble.

The Smart Run weighs 80 grams and has a 1.45 inch full color transflective touch display. It is said to have a battery life of 4 hours with coaching and music and up to 14 days on its watch display mode.

"The completeness and simplicity of Smart Run is astounding." Terrence Mahon, Lead Endurance Coach, UK Athletics Federation said."The visual and audible guidance for interval training is a leap forward from any other watch available."

The miCoach Smart Run is available for purchase exclusively at the adidas eShop (shop.adidas.com.ph) on December 1.

source: www.abs-cbnnews.com