Jordan Sneaker Choice May Cost University Millions

Nov. 5, 2009 — -- Choosing to wear his legendary father's brand of footwear Wednesday night may have cost Marcus Jordan's college a multimillion-dollar sponsorship deal.

German sportswear giant Adidas won't follow through on a six-year, $3 million contract with the University of Central Florida after school basketball player Jordan, the son of NBA phenom Michael Jordan, donned Michael Jordan brand Nike sneakers at a UCF exhibition game last night, according to the Orlando Sentinel.

Regional Adidas representatives had reached an agreement with the university to allow Marcus Jordan to wear Nike shoes but higher-ranking adidas officials later balked at the deal, the newspaper reported today.

"We are disappointed to learn that Adidas has chosen to discontinue its relationship with UCF Athletics," associate director of athletics Joe Hornstein said in an e-mail today to ABCNews.com. "Once we receive official notice, we will be able to further respond."

Adidas did not immediately respond to requests for comment from ABCNews.com.

The drama has opened a window into the money-driven world of college sports sponsorships.

Since the 1980s, corporate sponsorships of college athletic programs have grown to be a major source of revenue for universities. Experts say that sports sponsorship agreements can net a school as much as $5 million or even $10 million in free apparel, sneakers, gear and cash, depending on the university's size. They can prove a reliable source of revenue, especially in uncertain economic times such as these.

"The amount of money you can make from your sports team can rival the amount you can make in tuition," said Boyce Watkins, a finance professor at Syracuse University.

Exactly how much UCF receives through its Adidas deal, which dates back to 2005 and is up for renewal next year, is unclear. The Orlando Sentinel has reported that the current contract is worth $1.9 million and that a new contract is worth $3 million, but university officials disputed those figures last month.

However much UCF received from Adidas, the university had made clear that it valued the deal.