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Tiger Woods and Nike end 27-year partnership

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Tiger Woods and sportswear giant Nike have ended their long-term partnership after more than 27 years.

The 15-time major golf champion has used the brand’s products and equipment since he turned professional in 1996.

“The days since have been filled with so many amazing moments and memories, if I started naming them, I could go on forever,” Woods said on social media.

Nike said it was an honour to partner with “one of the greatest athletes the world has ever seen”.

Woods, 48, first signed a $40m (£31.5m) five-year contract with Nike upon turning professional as a 20-year-old in 1996.

The deal became one of the most lucrative partnerships in sports history as Woods dominated the world of golf for more than a decade to put him second on the list of men’s major champions, three behind leader Jack Nicklaus.

Becoming one of the world’s most famous sport stars, Woods signed multiple further deals with Nike over his career, including a 10-year contract in 2013 worth a reported $200m.

Tim Derdenger, an associate professor of marketing and strategy at Carnegie Mellon’s Tepper School of Business in Pittsburgh, Pennsylvania, told the BBC the long-term partnership between Woods and Nike was “a win-win for everybody”.

In 2013, the academic was part of a research team that looked at the impact of Woods on the sales of Nike golf balls, which he switched to using in 2000.

The research found that between 2000 and 2010 the company recovered 57% of its $181m investment in Woods (at the time) in sales of golf balls in the US alone.

Prof Derdenger said when Woods turned professional, Nike “didn’t have a strong prominent position in the golf industry” and so struck gold when it launched the its golf line with the upcoming star.

“What better person in hindsight to then bring out this phenomenal teenage, generational player to then launch their golf brand and apparel brand for Nike? He is golf, he is that person that brought the game to a massive amount of people over the last 25 years,” said Prof Derdenger.

“This was sort of the MO (modus operandi) for Nike and it still is to this day – to go out and find these athletes that are generational, or some of the best of their time, and build brands around them to help them drive sales of Nike products.”

Tiger Woods and Nike co-founder Phil Knight attend the Tiger Woods Foundation's 20th Anniversary Celebration at the New York Public Library on October 20, 2016
Tiger Woods and Nike co-founder Phil Knight in 2016

Woods, who returned to competition in November last year after a seven-month injury layoff, said in a statement across his social media platforms that he was fortunate to have partnered with Nike almost three decades ago.

Nike remained loyal to Woods during the ups and downs of his career, including when scandal surrounding his private life emerged when he was at the peak of his golfing powers in 2009, with the golfer admitting being unfaithful to his then-wife.

As major brands including razor blade maker Gillette, management consultancy firm Accenture and telecoms business AT&T cut ties with Woods, Nike said at the time it was standing firm and offered him its “full support”.

On Tuesday, Woods thanked staff and other athletes as well as Phil Knight, the co-founder and former chief executive of Nike, for his “passion and vision”.

Nike said in a statement to the BBC that the company was “grateful to have been a part” of Woods’ career.

“Throughout the course of our partnership, we have witnessed along with the rest of the world, how Tiger not only redefined the sport of golf, but broke barriers for all of sport,” it added.

While the reason for Nike and Woods’ partnership ending is not known, Prof Derdenger suggested the break-up will hurt the brand more, adding it had been a struggle for the company’s golf division in the last five to seven years.

In 2016, the company stopped selling clubs, bags and balls after years of falling sales and shifted its focus into golf footwear and clothes, which included sponsorship deals for another big name in four-time major winner Rory McIlroy.

But despite the popularity of McIIroy, Prof Derdenger doesn’t believe he has the same impact as Woods in “selling product”.

Without Woods, and former basketball player Michael Jordan, “I don’t think Nike, it’s brand, would be where it is today,” he added.

“Those two athletes are synonymous with Nike and the growth of Nike.”

In recent years, Woods has used TaylorMade clubs, but his switch to Bridgestone balls was possibly an easier transition due to Bridgestone having previously made golf balls for Nike, Prof Derdenger said.

Tiger Woods of the United States celebrates after sinking a 4 feet putt to win the US Masters Golf Tournament with a record low score of 18 under par 13 April 1997 at the Augusta National Golf Club
Woods celebrates winning the 1997 Masters, wearing his iconic Sunday red

What next?

January is often the month when new contracts between golfers and their sponsors are agreed.

Woods pre-empted questions over his future, telling his followers: “People will ask if there is another chapter. Yes, there will certainly be another chapter.”

He told followers: “See you in LA!” which is where Woods is hosting the Genesis Invitational next month.

Woods has had a limited schedule since suffering a leg injury in a car crash in 2021. He said in December he would only play one event per month in 2024 as he recovers from ankle surgery, but added he believes he can still win on the PGA Tour.

“Is Tiger Woods going to create his own line? Does he need a brand to pair with or is he enough? My answer is he is enough,” said Prof Derdenger.

“Look, Michael Jordan hasn’t played in 20 years and we are still buying his shoes.”

— Reports /TrainViral

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Six tonnes of cocaine found in banana shipment

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Sniffer dogs in Ecuador have found 6.23 tonnes of cocaine hidden in a banana shipment, police say.

The dogs alerted their handlers, who seized 5,630 parcels filled with a white substance that later tested positive for cocaine.

The shipment was destined for Germany, officials said, and would have been worth $224m (£173m) had it reached its destination.

Five people had been arrested following the discovery, according to the prosecutor-general’s office.

Police said they had found the massive cocaine haul during a routine inspection of container stored at Posorja deepwater port south-west of Ecuador’s largest city, Guayaquil.

The cocaine parcels had been hidden beneath crates of bananas destined for export.

One of those arrested in connection to the drug discovery was a representative of the export company responsible for the shipment, whom prosecutors said had been present at the inspection and gave officials the names of the four other suspects.

They include the managers of the banana plantation where the cocaine is suspected to have been added to the fruit shipment, as well as the driver who took the container to the port.

Ecuador has become a major transit country for cocaine produced in neighbouring Peru and Colombia, with transnational criminal gangs using Ecuador’s ports to ship the drug to Europe and the US.

Last year, Ecuadorean security forces seized more than 200 tonnes of drugs, most of it cocaine. Only the US and Colombia seized more drugs in 2023.

Gangs have caused a wave of violent crime in Ecuador, leading President Daniel Noboa to declare a state of emergency and deploy tens of thousands of police officers and soldiers in an effort to combat them.

These security forces have stopped large amounts of cocaine from being shipped to Europe.

In January, officers found the largest stash ever to be seized in Ecuador – 22 tonnes of cocaine – buried in a pig farm.

However, extortion, kidnappings and murders remain high in the Andean country.

Reports /Trainviral/

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Thailand expands v-free entry to 93 countries

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Thailand has expanded its visa-free entry scheme to 93 countries and territories as it seeks to revitalize its tourism industry.

Visitors can stay in the South-East Asian nation for up to 60 days under the new scheme that took effect on Monday,

Previously, passport holders from 57 countries were allowed to enter without a visa.

Tourism is a key pillar of the Thai economy, but it has not fully recovered from the pandemic.

Thailand recorded 17.5 million foreign tourists arrivals in the first six months of 2024, up 35% from the same period last year, according to official data. However, the numbers pale in comparison to pre-pandemic levels.

Most of the visitors were from China, Malaysia and India.

Tourism revenue during the same period came in at 858 billion baht ($23.6bn; £18.3bn), less than a quarter of the government’s target.

Millions of tourists flock to Thailand every year for its golden temples, white sand beaches, picturesque mountains and vibrant night life.

The revised visa-free rules are part of a broader plan to boost tourism.

Also on Monday, Thailand introduced a new five-year visa for remote workers, that allows holders to stay for up to 180 days each year.

The country will also allow visiting students, who earn a bachelor’s degree or higher in Thailand, to stay for one year after graduation to find a job or travel.

In June, authorities announced an extension of a waiver on hoteliers’ operating fees for two more years. They also scrapped a proposed tourism fee for visitors flying into the country.

However some stakeholders are concerned that the country’s infrastructure may not be able to keep up with travellers’ demands.

“If more people are coming, it means the country as a whole… has to prepare our resources to welcome them,” said Kantapong Thananuangroj, president of the Thai Tourism Promotion Association.

“If not, [the tourists] may not be impressed with the experience they have in Thailand and we may not get a second chance,” he said.

Chamnan Srisawat, president of the Tourism Council of Thailand, said he foresees a “bottleneck in air traffic as the incoming flights may not increase in time to catch up with the demands of the travellers”.

Some people have also raised safety concerns after rumours that tourists have been kidnapped and sent across the border to work in scam centres in Myanmar or Cambodia.

fatal shooting in Bangkok’s most famous shopping mall last year has also caused concern among visitors.

Reports /Trainviral/

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Royal Mail will deliver letters forever

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The prospective new owner of Royal Mail has said he will not walk away from the requirement to deliver letters throughout the UK six days a week, as long as he is running the service.

“As long as I’m alive, I completely exclude this,” Czech billionaire Daniel Kretinsky told the BBC.

Mr Kretinsky has had a £3.6bn offer for Royal Mail accepted by its board.

Shareholders are expected to approve the deal in the coming months, but the government also has a say over whether it goes ahead.

Currently the Universal Service Obligation (USO) requires Royal Mail to deliver letters six days a week throughout the country for the same price. But questions have been raised over whether the service could be reduced in the future.

In an exclusive interview with the BBC, Mr Kretinsky also said he would be willing to share profits with employees, if given the go-ahead to buy the group.

However, he appeared to reject the idea of employees having a stake in Royal Mail, which unions have called for in exchange for their support.

The Royal Mail board agreed a £3.6bn takeover offer from Mr Kretinsky in May for the 500-year-old organisation, which employs more than 150,000 people. Including assumed debts, the offer is worth £5bn.

But because Royal Mail is a nationally important company, the government has the power to scrutinise and potentially block the deal.

As well as keeping the new government on side, Mr Kretinsky also faces the task of convincing postal unions that the proposed deal will benefit employees.

The USO is a potential sticking point for both the government and unions.

Royal Mail is required by law to deliver letters six days a week and parcels five days a week to every address in the UK for a fixed price.

How well this has actually been working in practice is a different matter. Ten years ago, 92% of first class post arrived on time. By the end of last year it was down to 74%, according to the regulator Ofcom.

Last year the regulator fined Royal Mail £5.6m for failing to meet its delivery targets.

Royal Mail has been pushing for this obligation to be watered down. It wants to cut second class letter deliveries to every other weekday, saying this will save £300m, and lead to “fewer than 1,000” voluntary redundancies.

‘Unconditional commitment’

Mr Kretinsky has committed in writing to honouring the USO, but only for five years.

And after that, in theory, the new owners could just walk away from it.

However, Mr Kretinsky told the BBC: “As long as I’m alive, I completely exclude this, and I’m sure that anybody that would be my successor would absolutely understand this.

“I say this as an absolutely clear, unconditional commitment: Royal Mail is going to be the provider of Universal Service Obligation in the UK, I would say forever, as long as the service is going to be needed, and as long as we are going to be around.”

Mr Kretinsky added that the written five-year commitment was “the longest commitment that has ever been offered in a situation like this”.

Woman's hand posting a letter into a red post box

Another potential stumbling block for the deal, however, is how the company will be structured.

Unions would like to see the company renationalised, but Dave Ward, general secretary of the Communication Workers Union (CWU), told the BBC that would be “difficult in the current political and economic environment”.

Instead, what the CWU is pushing for is “a different model of ownership” – that is, where the employees part-own the business.

To get its support for the takeover, the union wants employees to share ownership of the company, along with other concessions including board representation for workers.

It says profit sharing is “not going to be enough to deliver our support and the support of the workforce”.

If the union doesn’t get what it wants, it won’t rule out industrial action, Mr Ward said. Its members went on strike in 2022 and 2023.

Although Mr Kretinsky said he is “very open” to profit sharing, he is not in favour of shared ownership.

“I don’t think the ownership stake is the right model,” he said. “The logic is: share of profit, yes, [but an] ownership structure creates a lot of complexity.

“For instance, what happens if the employee leaves? He has shares, he is leaving, he is not working for the company, he [still] needs remunerating.”

Mr Kretinsky said he didn’t want to create “some anonymous structure” but instead “remunerate the people who are working for the company, and creating value for the company”.

The union is also concerned about job losses and changes to the terms and conditions of postal workers’ contracts.

Mr Kretinsky has guaranteed no compulsory redundancies or changes in terms and conditions but only until 2025.

“If we are more successful, and we have more parcels to be delivered, we need not less people, but we need more people,” he said. “So really, job cuts are not part of our plan at all.”

He said if the management, union and employees work together, “we will be successful”.

Another concern is the potential break-up of the business.

The profit for Royal Mail’s parent company last year was entirely generated by its German and Canadian logistics and parcels business, GLS. Royal Mail itself made a loss.

Mr Kretinsky has promised not to split off GLS or load the parent company with excessive debt, although borrowings will rise if the deal goes through.

But he has a way to go to convince the CWU.

“I can’t think of any other country in the world that would just just hand over its entire postal service to an overseas equity investor,” Mr Ward of the CWU said.

However, Mr Kretinsky said that the postal unions “do understand that we are on the same ship, and that we need this ship to be successful, and that if we are there, we don’t have any real problems to deal with, because the sky is blue, and it’s blue for everybody.”

The union cannot stop this deal but the government can block it under the National Security and Investment Act.

Business Secretary Jonathan Reynolds has said he will scrutinise the assurances and guarantees given and called on Mr Kretinsky to work constructively with the unions.

Mr Kretinsky may say that he and the unions are ultimately on the same ship but, as things stand, they are not on the same page.

Who is Daniel Kretinsky?

Daniel Kretinsky started his career as a lawyer in his hometown of Brno, before moving to Prague.

He then made serious money in Central and Eastern European energy interests.

This includes Eustream, which transports Russian gas via pipelines that run through Ukraine, the Czech Republic and Slovakia.

He then diversified into other investments, including an almost 10% stake in UK supermarket chain Sainsbury’s and a 27% share in Premier League club West Ham United.

The Czech businessman is worth about £6bn, according to reports.

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