FedEx, PGA Tour extend deal through 2027
PONTE VEDRA BEACH, Fla. — FedEx will continue delivering major sponsorship dollars to the PGA Tour.
The shipping giant and the Tour, who have been partners for more than 30 years, extended their alliance through 2027, the two announced Tuesday morning. The FedEx commitment includes the FedExCup, the post-season, four-tournament financial boons for the Tour and its players that rewards the playoff victor $10 million of the $35 million in bonus money. Tiger Woods, the only player to win the FedEx Cup twice, won the inaugural playoff extravaganza in 2007.
Financial terms of the deal, which was set to expire at the end of this year, were not revealed, but PGA Tour commissioner Jay Monahan said “as we go forward, we expect the Cup and the payout to increase significantly.”
“For now we're just announcing the extension through 2027,” said Monahan, who took over his post Jan. 1. “As we went through this process, we've identified a number of ways for us to continue to enhance the magnitude and consequence of the FedExCup, and that's complicated. There's still some other moving parts that we need to get to before we'll be able to announce any additional changes. ...
“I’m really comfortable with where the Cup is and excited about the flexibility that this gives us on a long‑term basis.”
MORE GOLF:
Some of those changes could include the number of playoff events and a date change. There has been talk that the Tour could in the future move to end its season by Labor Day to escape the attention-grabbing behemoths that are the NFL and college football. If such a change were to occur, the PGA Championship could move to May from August, The Players Championship back to March from its current date in May and the FedEx Cup ending on Labor Day. This also could lead the number of events in the FedExCup playoffs dropping from 4 to 3.
“Right now the schedule that we play is the schedule we're going with and will be going with for the foreseeable future,” Monahan said. “Whether or not we make any changes, we haven't made any firm decisions, but that is what I'm referring to when I talk about flexibility. ...
“ I'm not saying we're making scheduling changes. I am saying that we've got a commitment through this agreement to significantly raise the consequence of the Cup.”
FedEx became a partner of the PGA Tour in 1985 with its sponsorship of the FedEx St. Jude Classic, which is still sponsors. Patrick Fitzgerald, senior vice president of Integration Marketing and Communications for FedEx, hailed the value returned by the Tour and the working relationship with the Tour.
“There is some exciting potential when you look at the schedule and other things, but I don't know what the best answer will be yet, and that's why we are so fortunate that we have a close collaborative working relationship with the Tour,” Fitzgerald said. “They have a very clear view of some potential things that could change and how that would affect things. So I'm confident that if the schedule changes, it will be in the best interest of golf and of the FedExCup. ...
“Because we measure so closely and carefully all of our sponsorship investments, (the extension) is a significant endorsement for the effectiveness of the PGA Tour.”
Monahan said the extension solidifies the foundation of the Tour and was “critical” and made for a “historic day.”
“I think that having one of the best companies on this planet make this commitment to our Tour and put us in a position where we're going to grow in many ways is critical and historic,” Monahan said. “Not just the Cup but the impact of our business model and all the communities where we play. We’re really able to do some things in the future we think are going to allow us to continue to elevate not just the Tour but the game.”