USOC working to retain key sponsors

The U.S. Olympic Committee remains in negotiations with two of its bigger domestic partners, hoping to strike deals that would guarantee additional money for a federation that recently slashed its budget.

Discussions are ongoing with Bank of America Corp. and The Home Depot Inc. - partners that paid an estimated $15 million to $20 million the past four years. USOC spokesman Darryl Seibel declined to disclose exact dollar figures.

Allstate Corp. and Anheuser-Busch have renewed their partnerships through the 2012 Olympics. General Motors Corp. announced in 2007 it's not renewing a partnership that included about $90 million to the Colorado Springs-based USOC.

Domestic sponsors Hilton Hotels Corp., Jet Set Sports, Nike Inc., Tyson Foods Inc., United Air Lines Inc. and 24 Hour Fitness Worldwide each pledged $10 million to $15 million through 2012. Domestic sponsors AT&T Inc. and Kellogg's Co. haven't decided whether to renew.

"There's no drop-dead date" for renewing, Seibel said Tuesday, adding the USOC has contracts with 10 international sponsors. "We're continually in the market and actively engaged in discussions with potential partners throughout a four-year period."

Complicating matters for the USOC is the absence of a chief marketing officer since Rick Burton resigned in November to re-launch his consulting firm. John Pierce and Susan Goldsmith will continue managing the sales and marketing department with help from chief executive officer Jim Scherr until Burton's replacement is hired.

The USOC, with $617 million in total revenues the past four-year cycle and an expected $103 million operating reserve, plans to cut its administrative costs by 10 percent and reduce its 450-person staff through attrition.

Seibel said sponsorship dollars the USOC receives "from our corporate partners are critical. It's not just the financial support. It's the marketing support and the lift that their association provides to our brand."

Home Depot has employed 660-plus athletes since 1992 through the USOC-run Olympic Job Opportunities Program and similar programs in Canada and Puerto Rico. Eight Colorado Springs athletes receive full-time pay and benefits for working at local stores.

"We've had a great relationship with them," Home Depot spokeswoman Jean Niemi said of the USOC. "It has been a very positive experience. We've seen value since we've been with them so long."

Said Bank of America spokesman Joe Goode: "We have been a long-standing supporter of the U.S. Olympic team. Our sponsorship has been an important part of our business and marketing strategy."