Usain Bolt is our key brand asset — Puma

BOLT HOLDS THE KEY FOR PUMA

BY STEVEN JACKSON Observer staff reporter

Friday, December 03, 2010

GLOBAL athletics brand Puma listed Jamaican sprinter Usain Bolt as its key brand-asset amidst a 16 per cent rise in sales to 784 million euros over the third-quarter.

The German-based brand described the new three-year contract with Bolt as the most important event in its quarter behind its financials. It even ranked it above a multi-million full take-over of a joint-venture in China and Hong Kong and also irregularities discovered at a second joint-venture in Greece, according to its latest financials.

"Usain Bolt remains a long-term brand asset for Puma," stated the first page of the financials which incidentally had a life-sized photo of Bolt on its cover.

Puma's intangible fixed-assets (with a non-defined useful life) had an opening balance of €70 million on January 2009 and closing balance of €26 million at December 2009.

The contract signed for an undisclosed sum in August represents, according to Puma, the largest sponsorship contract by a track and field athlete to date. It follows the estimated eight-figure Nike contract received by US sprinter Carl Lewis. Bolt, the two-time world record holder and triple World and Olympic champion entered the Puma contract in 2003 which runs until 2013.

Over the third-quarter, Puma's net profit jumped 14 per cent to €77 million; its gross profit margin remained at 50 per cent; operating result before special items improved 5.3 per cent to €113 million; whilst earning per share rose from €4.50 to €5.16.

It isn't the first time that Puma has lauded the value of Bolt to its investors. In its 2009 annual report Puma indicated that the performance of "Bolt at the World Athletics Championships in Berlin, where he broke the 100m and 200m world records, proved to be a particular highlight for the Puma brand".

Puma views its brand image as key to its marketing of apparel, clothing and footwear.

"The brand image is essential since it can influence consumer behaviour not only to the advantage, but also to the disadvantage, of the brand," it stated in its financials.

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COMMENTS (11)

Everton Welby
12/4/2010

@ Andrew green, or should I say (green with envy ).You and the likes should stop bringing your tribal nonsense here, Jamaicans are proud of Usain Bolt. For us he is not just the guy, Usain is one of our Hero. WAY TO GO USAIN, JAMAICANS ARE SO PROUD OF YOU!!!

Gaza Don
12/4/2010

Andrew, What are you talking about? Have you read your initial statement? Your words echoed that of envy...'his millions is not helping me'. Actually, his fame and millions are indirectly helping you (if you are a Jamaican, furthermore if you live here)...Who or What 'we' need to be proud of more than just athletes? Rhode Scholars, Pageant Contestants, Spelling B contestants, entertainers n many more field that we have succeeded have all made us proud. Keep ur mouth shut, thats what u should do.

Andrew Green
12/4/2010

Dont get me wrong i have nothing against him i actually like the guy, i just hope that we can start being proud of more than just athletes

Cheddi McLean
12/3/2010

Bolt has indeed given back to the community. He has financed a number of projects in his parish of Trelawny including the refurbishing and renovation of a Health Clinic, also contributing to the United Way of Jamaica, his alma mater William Knibb High School just to name a few. Continue to make us proud Bolt! We must encourage the young man not tear him down!

Cheddi McLean
12/3/2010

Peter Moss
12/3/2010

Andrew Green, u remind me of the lickie-lickie bad mind elements besieging Jamaica right now. You all have this attitude of entitlement and this gimme gimme attitude! What have u ever done to contribute to Bolt's succes? If he gives back, it cant be because others like u forced him too, or won't be proud if he doesn't. Has to be because he wants to.

Steve Allen
12/3/2010

I don`t think Bolt is a mean guy, he`ll help you guys.
That man loves his fellow Jamaicans.

Gaza Don
12/3/2010

@ ANDREW. How much filth can one person spill? Bolt owes Jamaica nothing. Jamaica gives its people nothing. He has succeeded in the face of defeat, and has already done many philanthropic deeds. We as a people beg to much, that's all... Badmind, we badmind. Him making millions has increased the product Jamaica. How ignorant a statement is that ANDREW? When he failed in '06, we turned our backs on him. Enjoy ur millions yute, people will always hate. Bolt to di wrerl

Andrew Green
12/3/2010

Hey Jay Brown , he'll make us proud if he gives back to the community. him making millions is not making me proud

Steve Allen
12/3/2010

Bolt, you are the man. U run things. Keep the Jamaican flag flying high.

Jay Brown
12/3/2010

You go Bolt !!
Make every Jamaican proud !!

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Usain Bolt is our key brand asset — Puma