Penn State denied a report that Adidas, which is set to replace Nike as the school’s outfitter, was involved in Sunday’s firing of football coach James Franklin, following earlier moves to defend its athletic director against accusations that he acted irresponsibly in negotiating the Adidas deal.
Penn State announced on September 8 that it is ending its 32-year partnership with Nike, effective in 2026, as the official footwear, uniform, apparel, and sideline partner of the Nittany Lions, in favor of a new 10-year deal with Adidas.
Penn State’s denial comes in response to a report from WV Sports Now managing editor Mike Asti, who claims that Adidas “drove” the firing of Franklin and is paying “most of, or all of, the money” in Franklin’s $49 million contract buyout. Asti said the university reached out to him to dispute the report, which he still stands by.
Penn State said in a statement to Front Office Sports about the WV Sports Now report, “The report is patently false. This decision was made solely by Penn State. Adidas is not helping to pay the buyout for Coach Franklin.”
Athletic Director Pat Kraft insisted at a press conference on Monday, October 13, that the payout will solely be covered by the University’s athletic department.
Penn State is now 3-3 after its loss on Saturday, October 11, to Northwestern University and has now lost three consecutive Big Ten games for the first time since 2021. Penn State is 0-3 in the Big Ten for the first time since 2004, excluding the 2020 COVID-shortened season, when the Nittany Lions lost their first five games.
Franklin, who led Penn State since 2014, exits with a 104-45 record, one Big Ten championship and a College Football Playoff berth last season. His most recent contract, a 10-year extension signed in 2021, guaranteed him $8.5 million this year and $49 million if fired without cause, according to USA Today.
Asti’s initial report claimed that Adidas had already wanted Penn State to replace Franklin before the recent three-game losing streak that also included losses to Oregon and UCLA.
Adidas has declined to comment beyond directing questions back to the University.
Penn State’s denial of any Adidas role in the firing comes amid mounting tension among members of its Board of Trustees, who, sources told Front Office Sports, are frustrated with how the Adidas contract was approved. Several trustees reportedly never saw the full terms of competing bids from Nike or Adidas before the deal was finalized. Nike reportedly offered cash up front in a new deal.
Some trustees were reportedly upset not to hear about contract details, including a $500,000 “annual product allotment” for Kraft. A Penn State spokesperson told Front Office Sports that the product allotment is “pretty standard for apparel deals.”
On late Saturday night, October 11, before the news of Franklin’s ouster as coach, the two heads of the Penn State Board of Trustees issued a statement defending Penn State’s deal with Adidas, saying they were responding to “rumors and misinformation” about the contract that takes effect in 2026.
David Kleppinger, chair of the Penn State Board of Trustees, and Rick Sokolov, vice chair of the Penn State Board of Trustees, called a suggestion that Penn State’s athletic director Kraft, wrote, “The process of negotiating and securing this deal was handled professionally by the Penn State administration, and in keeping with all of our standards,” the statement said. “It was conducted rigorously, with a value-driven review of competing proposals. The Board of Trustees does not currently vote to approve apparel, beverage, multimedia, or similar commercial agreements; however, University trustees were provided summaries of the competing proposals prior to the final agreement.”
The trustees added that “any suggestion about personal benefits for Intercollegiate Athletics executives is patently false. Pat Kraft, vice president for Intercollegiate Athletics, and his team maintain close working relationships with executives at all major suppliers — official partners and their direct competitors — as a fundamental responsibility of their position. That is their job. Any suggestion to the contrary is reprehensible.”
The statement concluded, “Board leadership, the University president and the athletics director are unequivocally aligned on both the approach taken and the outcome reached. Penn State is entering this partnership from a position of strength, and it reflects the best overall outcome for our student-athletes, our fans and the long-term strength of Penn State Athletics.”
In announcing the Adidas deal, Kraft said it would “set a new industry standard, fueling championship performances, empowering our student-athletes to grow their personal brands and creating unmatched platforms for them to shine on the national and global stage.”
In the lead-up to the partnership’s official launch in 2026, Penn State and Adidas will focus on NIL agreements and brand campaigns for student-athletes across all 31 sports.
The Penn State deal comes as Adidas has stepped up investments around American football, including, in August, reaching an agreement to sponsor 41 high school athletic programs across Miami-Dade County Public Schools, with South Florida long considered one of the most important regions for high school football.
Adidas has also been aggressive in launching an NIL program for football players at its NCAA partner schools and, in August, reached an agreement to replace Nike as the outfitter of the University of Tennessee.
John Miller, Adidas president, North America, said in the statement announcing Penn State’s deal, “Adidas is committed to partnering with universities like Penn State that possess rich tradition and championship potential in equal measure. We see this new agreement as a unique opportunity for us to help shape the next chapter of Penn State Athletics while staying true to everything that makes the Nittany Lions an iconic brand.”
Image courtesy Penn State University
