Nike Won't Pay LeBron James a Bonus For Joining the Knicks

With everyone convinced that LeBron James will leave Cleveland for the New York Knicks during the summer of 2010, there have been all sorts of rumors that have come about to explain his desire to leave. One of them is the belief that he will receive more money from Nike if he plays in New York. The thinking behind this is that it would be much more advantageous for Nike to have LeBron playing in the country's largest market and the world's basketball mecca.

Today CNBC's Darren Rovell stepped up to the plate and killed all notions of that rumor. Here's the scoop:

The $100 million number is LeBron's total contract that includes a $10 million signing bonus. There are other bonuses, royalties and incentives, but there is no New York, Chicago or L.A. market incentive.

Even if LeBron did have the New York clause in his contract it would be done by the time his contract expired. James' original deal is a seven year deal, meaning it ends at the end of the 2009-10 season, before he would have a chance to go to New York.

Rovell eventually goes into something about how LeBron hasn't been really moving product for Nike and how he likely won't be able to make more than what he's making from Nike now even if he goes to New York.

Even without incentives in his current deal, I tend to think that Nike could put pressure on LeBron into moving to New York or a large market. LeBron is one of the top two players in the league, yet Stephon Marbury often gets way more media coverage than him. Stephon Marbury would be a nobody in Cleveland, but because he plays (eh, I mean sits on the bench) in New York, his every move gets a ton of media coverage. Even in a internet based, more flat world MSM media coverage is king. That kind of coverage and exposure has to be appealing to Nike.

Also, from all accounts, head of Nike Basketball, Lynn Merritt, has a big influence in the everyday workings of LeBron, inc. In fact, LeBron's friend/Marketing agent Maverick Carter came up as an intern under Merrit. So despite the lack of financial incentives, don't be surprised if Nike does nudge LeBron in the direction of NYC.