Adidas Manchester United Deal Includes Options to Reduce Payment & End Deal

Manchester United's ongoing decline could heavily affect their contract with Adidas. This can be seen in the Club Annual Report 2021.

Adidas Manchester United Contract Includes Small Bonuses & Massive Reductions

The contract with Adidas includes some small bonuses as well as some massive reductions.

The maximum bonus is 4 million GBP/year

The 10-year agreement with Adidas includes a maximum possible decrease of 30% if the men's first team fail to participate in the Champions League for two or more consecutive seasons. This would be £22.5 million/season less for Manchester United (the deal is worth £75 million/season).

In terms of bonuses, the maximum possible increase is £4 million per year.

Adidas can end the deal if Man Utd do not play in the Premier League

There are further reductions and even a clause that makes it possible for Adidas to end the deal early - in the case the club won't play in the Premier League.

Adidas may reduce the applicable payments for a year by 50% if the men’s first team is not participating in the English Premier League during that year. In addition, Adidas may terminate the agreement by giving one full season’s notice if the men’s first team is relegated from the English Premier League.

Adidas Manchester United Deal - Contract Clauses

  • Deal worth £75 million/season
  • Maximum of £4 million/season of bonuses
  • Reduction of 30% (£22.5 million/season) if club fail to participate in the Champions League for two or more consecutive seasons
  • Reduction of 50% (£37.5 million/season)if club do not play in Premier League
  • Option to terminate deal if the club do not play in Premier League

Are you surprised to see these causes in the contract? Comment below.