Sponsors Lose $12 Billion by Backing Tiger Woods

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Dec. 29 2009, Published 5:49 a.m. ET

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The sponsors who decided to stick by Tiger Woods while he's in the rough may want to rethink things after they see the results from a recent study, E! News reports. Apparently backing Tiger right now is a risky business decision, as it could cost the companies up to $12 billion.

According to a recent study conducted by two economics professors from the University of California at Davis, continuing to sponsor Tiger could get expensive.

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The professors looked at stock market returns for Tigers' sponsor companies in the 13 trading days that immediately followed the car crash scandal and ending a week after Tiger announced he would be leaving golf indefinitely.

The sponsors who suffered the most were Nike, Gatorade and EA Sports losing $6 billion, after they made statements to support Tiger despite his indiscretions.

These companies could be suffering even worse financially than Tiger, who normally makes $100 million per year.

Tiger Woods

Accenture is breathing easy right now as they managed to avoid backlash from their Tiger association, since their profits don't depend on public opinion.


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