With our free press under threat and federal funding for public media gone, your support matters more than ever. Help keep the LAist newsroom strong, become a monthly member or increase your support today.
Donald Sterling fallout: Sponsors flee the Clippers after alleged racist tirade
Alleged comments by LA Clippers owner Donald Sterling are losing the team sponsorships. Here, he watches a game with girlfriend V. Stiviano last year.
(
Ronald Martinez/Getty Images
)
Listen
1:55
Donald Sterling fallout: Sponsors flee the Clippers after alleged racist tirade
Most of the Clippers' major sponsors including CarMax and Virgin America have jumped ship after an audio recording allegedly of team owner Donald Sterling making racist comments surfaced Friday night.
Used car chain CarMax announced it would be dropping its sponsorship after nine years, while insurance carrier State Farm in a statement said it would be "taking a pause in our relationship with the organization."
In a similar vein, Kia said in a statement that it would be suspending our "advertising and sponsorship activations with the Clippers."
Marc Edelman, a professor at Baruch College who studies the business of sports, said that the companies are protecting their own brands by avoiding "negative brand equity" surrounding the Clippers.
Sponsored message
But "there may be some brands, above and beyond the bottom line, who just no longer wanted any association with this type of dinosaur behavior," he said.
CarMax and StateFarm were among the first to announce their decisions, and by the end of the day at least a dozen companies had done so. The Southern California Ford Dealers issued this statement:
Due to the current circumstances, the Southern California Ford Dealers are suspending their affiliation with the Los Angeles Clippers organization indefinitely. We will continue our support of the Clippers players and fans and wish the team continued success in the playoffs.
Late Monday, Mercedes-Benz USA told the Associated Press that its dealerships are ending their sponsorship of the Clippers in the wake of Sterling's alleged comments.
Some of the companies declared their positions on social media. LA-based water brand AQUAhydrate announced via Twitter that it would be suspending its sponsorship pending a probe into Sterling's alleged remarks.
AQUAhydrate drops the Clippers
RELATED: Who is Donald Sterling? An FAQ on the Clippers owner's history, past lawsuits
Sponsored message
Even as they distanced themselves from the teams, companies said they would continue to support the individual players they sponsor. For example, State Farm spoke of its "great relationship" with Clippers' All-Star point guard Chris Paul and that it would continue to run the "Born to Assist" advertising campaign. The ubiquitous ads feature Paul playing himself and a fictional long-lost twin brother, Cliff Paul, a State Farm agent.
Chris Paul State Farm commercial
This story has been updated.
At LAist, we believe in journalism without censorship and the right of a free press to speak truth to those in power. Our hard-hitting watchdog reporting on local government, climate, and the ongoing housing and homelessness crisis is trustworthy, independent and freely accessible to everyone thanks to the support of readers like you.
But the game has changed: Congress voted to eliminate funding for public media across the country. Here at LAist that means a loss of $1.7 million in our budget every year. We want to assure you that despite growing threats to free press and free speech, LAist will remain a voice you know and trust. Speaking frankly, the amount of reader support we receive will help determine how strong of a newsroom we are going forward to cover the important news in our community.
We’re asking you to stand up for independent reporting that will not be silenced. With more individuals like you supporting this public service, we can continue to provide essential coverage for Southern Californians that you can’t find anywhere else. Become a monthly member today to help sustain this mission.
Thank you for your generous support and belief in the value of independent news.
But the game has changed: Congress voted to eliminate funding for public media across the country. Here at LAist that means a loss of $1.7 million in our budget every year. We want to assure you that despite growing threats to free press and free speech, LAist will remain a voice you know and trust. Speaking frankly, the amount of reader support we receive will help determine how strong of a newsroom we are going forward to cover the important news in our community.
We’re asking you to stand up for independent reporting that will not be silenced. With more individuals like you supporting this public service, we can continue to provide essential coverage for Southern Californians that you can’t find anywhere else. Become a monthly member today to help sustain this mission.
Thank you for your generous support and belief in the value of independent news.
Senior Vice President News, Editor in Chief
