Report: Could U-M leave Adidas for Nike or Under Armour?

The Michigan athletic department has contracted with Adidas for its sponsorship since 2007, leaving Nike at the time despite being one of the highest-profile brands among the Nike schools.

After eight years, despite having the largest known contract in the country, U-M is considering a change.

In a sit-down conversation with Michigan students on Wednesday, U-M athletic director Jim Hackett said the athletic department is re-evaluating its options and considering switching back to Nike, to Under Armour or staying with Adidas, The Michigan Daily reported.

According to the story, Hackett has surveyed athletes, called other athletic directors and spoke to former U-M football players in the NFL. He told the Daily that a decision must be made by the end of the year.

Actually it may have to be sooner than that. U-M is now entering a unique window in the contract, able to re-up the contract with written confirmation for five years at the same terms by July 31, 2015. If not, the contract is scheduled to expire on July 31, 2016.

The contract also stated that beginning Sept. 1, 2014, U-M had 90 days to meet with Adidas to "negotiate in good faith the renewal." Because Hackett is discussing this now, it's assumed nothing came of those discussions, if they occurred.

The initial contract was to pay Michigan $3.8 million but had a "most favored nation" clause that stated if Adidas contracted with another school above U-M, the company had to offer Michigan the same revised terms. U-M was also to receive $2.2 million worth of Adidas products annually. Now reportedly, the equipment and apparel allowance is $4.4 million.

According to a study compiled by the Portland Business Journal in 2013 and revised in 2014, U-M's combined $8.2 million contract deal is the largest in the country. (Though private schools, like Notre Dame, are not included.)

The largest Nike contract: Florida State at $4.4 million. The largest Under Armour: Auburn and Maryland, each at $4.3 million.

Hackett also said in his student conversation, reported by the Daily, that for football, "All the shoes are going to be black, he's making it more conservative, Harbaugh-esque" and there will be no piped-in music during warmups and the band may play more often during games.

Michigan ranked fourth in the most recent list of top-selling institutions and manufacturers under the Collegiate Licensing Company banner for the second quarter of the 2014-15 fiscal year. U-M trailed only Alabama, Texas and Notre Dame, though only 75 schools are part of the CLC and some notable schools -- Michigan State, Ohio State, Oregon -- are not among them.

Contact Mark Snyder at msnyder@freepress.com. Follow him on Twitter at @mark__snyder.