All Blacks' deal with Adidas worth

The confused state of rugby in the professional age was starkly illustrated yesterday when the All Blacks signed a massive deal…

The confused state of rugby in the professional age was starkly illustrated yesterday when the All Blacks signed a massive deal with Adidas while English league clubs agreed to pay one third of the costs of having their games televised on Channel 5.

The German sportswear manufacturer will pay £28 million, more than that reportedly offered by its rival Nike to supply the famous black strip, sports equipment and footwear. But the country's new rugby academy will be named after the company and Adidas will be involved in the development of New Zealand's grass-roots rugby.

The chief executive of the New Zealand Rugby Union, David Moffett, refused to say how much the deal was worth, only that "this is the single biggest proposal that rugby has ever had put before it worldwide".

Company sources were also keen to play down the extra rights the fee would secure and contrasted the bid with Nike's, which had caused controversy by suggesting an even more hands-on role.

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However, analysts were sure that Adidas would be buying a hefty say in the running of the All Blacks for such a "staggering" sum.

One said: "For that much I'd imagine they will be involved with the team directly, kit supply, leisure wear, licensing, you name it."

The deal also marks another landmark in the battle between Adidas and Nike as well as other rival sportswear manufacturers.

Nike upped the ante a year ago when it usurped Umbro as kit manufacturer for World Cup football holders Brazil. But the 10-year, £123 million deal created waves not only because of its size but because it gave the company part of the team; Nike can arrange up to five internationals a year and sell the television rights.

The American company was favourite to win the All Blacks contract too, but the NZRFU said the Adidas deal would be the best at preventing a drain of All Blacks both abroad - such as Zinzan Brooke to Harlequins - and to rugby league.

But observers forecast it would also hasten further all-encompassing contracts, with sponsors playing a direct role. Andrew Croker, of the agents IMG, said: "I think you'll see sponsors becoming more and more active partners in sport."

Fans concerned that the deal may mean a change to the traditional strip, as endured by the Australian Wallabies as part of a sponsorship deal, were reassured that it was out of the question. "Black, black, black, we'll stay the men in black," Roberts said.

Meanwhile, Channel 5 will broadcast a 60-minute programme next Sunday, featuring highlights of the weekend's English premier league programme, including the Newcastle-Richmond and Leicester-Bath matches.

League rugby has been unavailable to viewers of the terrestial channels since BSkyB bought television rights last year, and BBC pulled the plug on Rugby Special.

Production company Chrysalis, owned by Wasps' millionaire backer Chris Wright, purchased the terrestrial league rights from Sky but it has taken significant cash backing to make Channel 5 coverage viable.

England's 12 Premiership One clubs have each contributed £21,000, raising about one third of production costs, with league sponsor Allied Dunbar, English knockout cup backers Tetley's Bitter and one other sponsor funding the rest.

Sky will screen seven England internationals, the European Cup competition, plus domestic league and cup matches live this season.

And that situation prompted an initiative from Saracens chief executive Mike Smith, anxious that English club rugby gains the widest possible exposure.

Smith initially wrote to directors of English First Division Rugby, English Rugby Partnership chief executive Kim Deshayes and seven millionaire rugby club investors - Nigel Wray (Saracens), Ashley Levitt (Richmond), Sir John Hall (Newcastle), Tom Walkinshaw (Gloucester), Andrew Brownsword (Bath), Keith Barwell (Northampton) and Wright (Wasps) - requesting support.