State Farm, CarMax, Virgin America, Kia halt Clippers sponsorships as Donald Sterling faces allegations of racism
Apr 28, 2014, 1:03 PM EDT
The NBA is limited in the scope of the punishment it can hand Donald Sterling – we’ll soon know what the league is doing – but the Clippers’ sponsors don’t face the same restrictions.
We don’t know what each sponsor’s contract stipulates, but it appears at least two have distanced themselves from the Clippers to varying degrees:
I’d guess the Clippers and each of their sponsors have similar, if not the same, langue on the sponsors ending their payments. If so, I expect more to follow CarMax and State Farm out the door. It’s bad business to be associated with Sterling, even if the allegations against him have not yet been proven true.
Updates: Virgin America has followed.
If there’s a way to persuade Sterling – and his fellow owners – to act, it’s through their wallets.
As we’ve repeatedly said, getting Sterling to sell the team will not be easy. However, if he’s making less money from the team and a potential buyer could make more by bringing back the sponsors, that would push the needle in the direction of a sale. As much as he enjoys the fame of owning an NBA team, he’s also notoriously cheap. There’s no telling how he’d balance those two priorities if they butted heads.
And if the Clippers are losing opportunities to make money, the league is losing opportunities to make money. That affects every owner.
None of this will change what the NBA can do about Sterling, but it might change what the league will do and it might change what Sterling will do.
Aug 28, 2015, 6:46 PM EDT
I wouldn’t bet on him making the roster.
Aug 28, 2015, 5:44 PM EDT
Will either of them take a discount for security?
Aug 28, 2015, 3:58 PM EDT
Charles Barkley talked about how he never found Dawkins in a bad mood — he was always jovial.
Aug 28, 2015, 2:59 PM EDT
Boozer is making the right play here.
Aug 28, 2015, 2:15 PM EDT
It shouldn’t linger into training camp if he doesn’t aggravate it.
Aug 28, 2015, 1:44 PM EDT
What did you expect he would say?
Aug 28, 2015, 1:00 PM EDT
Ballmer may just be ahead of the curve on this.
Aug 28, 2015, 12:00 PM EDT
He did his damage in just 25 minutes.
Aug 28, 2015, 11:21 AM EDT
Spoiler: Thomas’ team won.
Aug 28, 2015, 10:30 AM EDT
The Lakers co-owner isn’t closing the door.
Aug 28, 2015, 9:44 AM EDT
Get excited, Magic fans.
Aug 28, 2015, 9:10 AM EDT
No deal is in place as of now.
Aug 28, 2015, 8:34 AM EDT
He calls DeMarcus Cousins his “brother.”
Aug 28, 2015, 8:00 AM EDT
Did Mychal raise a cheater? I don’t think so.
Aug 27, 2015, 11:59 PM EDT
Henderson has played in Iraq and Qatar since going undrafted.
Aug 27, 2015, 11:15 PM EDT
Howard last played in the NBA in 2012.
Aug 27, 2015, 10:30 PM EDT
This is scary for the rest of the league if it’s true.
Aug 27, 2015, 9:45 PM EDT
Westbrook and Nina Earl have been together since college.
Aug 27, 2015, 9:00 PM EDT
Rose’s first public comments since the civil suit.
Aug 27, 2015, 8:15 PM EDT
They’re pretty sweet.
- Jim Buss open to the idea of Kobe Bryant playing beyond this season 27
- Derrick Rose on sexual assault suit: “I am confident I will be proven innocent” 2
- Report: Kyrie Irving likely not back opening night, could be out until January 14
- Legendary Sixer, backboard-shattering dunker Darryl Dawkins dies at 58 14
- After Rio Olympics next summer, who takes over at Team USA coach? 7
- Kobe, Shaq discuss regrets over feud that ended their Lakers era 49
- NBA fines Clippers for attempting to circumvent salary cap with DeAndre Jordan 10
- The most overlooked – and maybe most significant – reason Carmelo Anthony won’t waive his no-trade clause this season 18