PUMA has terminated its four year deal with the Athletics Federation of Nigeria (AFN). The deal worth $2.76m was cancelled with immediate effect by the German-based sportswear company over breach of contract.
The AFN under the leadership of Engr Ibrahim Gusau signed a 4-year contract with PUMA in 2019 and was due to expire in 2022. Part of the contract is that PUMA will supply kits to all age categories to Nigeria’s Athletics team for four years at no cost.
In addition, gold medalists at the Olympic Games will earn $15,000, silver medalists will get 5,000 while a bronze medal will fetch athletes wearing the PUMA apparel at the games $3000.
In a letter dated Wednesday 4th August 2021 and signed by the company’s director Manuel Edlheimb, PUMA said it was officially notifying the AFN of its termination of the Sponsoring and Licensing Agreement.
“We are referring to the licensing and sponsoring agreement signed between our company and your federation. As a direct consequence of the recent developments, particularly at the Tokyo Olympic Games 2020 and pursuant to clauses 9.2 and 7.3 of the Agreement, we hereby terminate the Agreement with immediate effect.
“PUMA especially declares to be discharged from any or all obligations towards all stakeholders involved and reserves all rights against these entities and individuals,” the letter read in part.