Man United extend sponsorship deal with auto giants Chevrolet until December 2021

Automotive company Chevrolet will continue to remain as the shirt sponsor of Premier League side Manchester United until the end of December 2021, the club announced in their recent financial statement. The club's seven-year deal with Chevrolet was set to expire at the end of the current campaign, with many reports suggesting the club could opt for a short term deal to reevaluate their options when the market recovers after the COVID-19 pandemic. 

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"In August 2020, due to the disruption caused by the pandemic, the Company entered into a variation agreement with General Motors (Chevrolet) to extend the maturity date of the original shirt sponsor agreement by a period of six months to 31 December 2021," the club's financial statement read. "There are no other significant changes to the sponsorship rights or total consideration, which will now be paid in sterling via instalments during the period to 30 June 2021."

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Man United finances; Man United Chevrolet deal

The sponsorship deal with the American car giant was extended by six months, with Chevrolet now having until June 30, 2021, to pay the remaining sum of the deal, in instalments. Per reports, Man United will receive an additional £50 to £60 million from car manufacturers. Man United estimated a financial blow of upwards of £70 million due to the pandemic. The sponsorship extension should help the club to minimise some of the losses for the 2020-21 season. 

Chevrolet was announced as the Man United sponsors in 2012, with the deal coming in effect from the 2014-15 season. The club has so far stuck with their approach of long-term deals with shirt sponsors, as the GM Motors-owned company is only the fifth to feature on United's shirts since Sharp became the first to do in 1982. The others were Vodafone, AIG and most-recently AON. 

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Last year, reports indicated the Red Devils could look to end their partnership with Chevrolet at the expiry of the contract with Chinese electronics company Haier linked with a record deal. The club could look for a new shirt sponsor with an even better financial package, considering their current extended deal with Chevrolet ends in December next year. Alternatively, depending on the market situation, Man United, one of the biggest football clubs in the world, could force Chevrolet to fork out a new deal with a higher sponsorship value. 

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(Image Credits: Man United Twitter)