Report: GM Execs Altered Man-U Deal That Led To Marketing Boss' Resignation
The plot line surrounding the massive General Motors-Manchester United sponsorship deal continues to thicken. Bloomberg today is running a story that GM's most senior execs, while agreeing to honor the sponsorship deal with Man-U, had to go back and alter the deal terms, which reportedly led to the resignation of marketing chief, Joel Ewanick.
"GM leaders had to ask for Ewanick’s resignation after they perceived that he failed to make clear some details of the contract to the senior management team, the people said. As a result, the leaders didn’t know the true cost of the United deal, worth about $300 million to be on the jerseys, one of the people said. GM plans to honor the arrangement, which was altered from what Ewanick originally crafted, the people said."
If the seven year, $300 million price tag is accurate, the Chevrolet jersey sponsorship would represent more than a 30% increase over the club's existing four year, $125 million sponsorship with Aon.
In other news, Manchester United yesterday priced its U.S. IPO, which values the club at close to $3.3 billion.