One of the PGA Tour’s longest-serving title sponsors will not be renewing its deal.
Farmers will not be renewing its title sponsorship of its PGA Tour event – the Farmers Insurance Open – when it expires in 2026, according to Sports Business Journal (SBJ).
The brand is also cutting ties with Rickie Fowler, following a decade-long partnership with the popular PGA Tour star.
Farmers will also be sending fewer executives to this month’s Farmers Insurance Open, according to sources close to the insurance company that spoke with SBJ.
The company is said to have already returned a number of hotel rooms to the PGA Tour, along with plans for less activation.
The Farmers Insurance Open of 2024 is scheduled for January 24–27.
Here’s the full PGA Tour schedule.
In order to fulfill a seven-year extension they signed back in 2018, farmers will continue to serve as the event’s title sponsor for three more years at the renowned Torrey Pines in San Diego.
Prior to its PGA Tour event, the company sponsors the Advocates Pro Golf Association (APGA) Tour event at Torrey Pines.
Farmers has been associated with the PGA Tour since 2010, when it sponsored its inaugural event.
However, the business is ending its involvement in the professional golf scene, particularly since title sponsors on the PGA Tour demand an annual fee of about $14 million.
Farmers cut ties with one of the most popular figures on the PGA Tour in Fowler, 35, it was confirmed last week.
The company has sponsored the six-time PGA Tour winner since 2013.
Eagle-eyed golf fans realised Fowler was without his customary Farmers logo on the side of his PUMA cap at The Sentry in Hawaii, which marked the first event of the new 2024 PGA Tour season.
Fowler then revealed the deal had come to an end and was not being renewed.
It was a leadership decision by Farmers’ new CEO Raul Vargas, said Fowler:
“My contract was up and I was told they weren’t looking to renew or extend.
“It was a good fit with them taking over at Torrey, a tournament I loved and was closest to where I grew up.
“I loved doing the fun commercials with them over the years, it was a great partnership, and it was their decision to scale back.”
As a result of losing the sponsorship, Fowler had to fend off rumour he was set to move to LIV Golf.
Farmers laid off 11% of its employees in August, citing the need to safeguard long-term profitability as the reason.
According to the most recent information, Farmers is the second major title sponsor to leave the PGA Tour.
Following the May 9–12 event this year, Wells Fargo has also made the decision to not extend its agreement to serve as title sponsor of the Wells Fargo Championship.
“Taking a wait-and-see approach as negotiations with the PGA Tour, PIF and DP World Tour continue to try and reach a deal that would potentially invest billions into the Tour,” writes SBJ, is how many other companies that are currently associated with the PGA Tour are reportedly feeling.
Since both the RBC Canadian Open and the RBC Heritage are under one-year contracts in 2024, RBC is reportedly among the businesses that are waiting to see what will happen.
Keith Pelley is leaving the DP World Tour this morning to become the CEO of Maple Leaf Sports Entertainment, a sports company based in Canada.
Early in April 2024, Guy Kinnings will take over as CEO of the DP World Tour, which takes place right before The Masters.
Additionally, the R&A verified that Martin Slumbers will step down as CEO at the conclusion of the current season.
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