FIRST AIRED: January 26, 2018

Nice work! Enjoy the show!

×

You’re busy. We get it.

Stay on top of the news with our Editor’s Picks newsletter.

US Edition
Intl. Edition
Unsubscribe at any time. One click, it’s gone.

Thanks for signing up!

We've got more news

Get our editor’s daily email summary of what’s going on in the world.

US Edition
Intl. Edition
Replay Program
0:00
0:00
More Info

COMING UP:Share Opener Variant 3

×

Transcript

00:00:00
>> I've just signed your death warrant.>> With several Board Members having resigned and its reputation in shambles, USA gymnastics now stand to lose millions of dollars in sponsorship deals in the wake of a sex abuse scandal that sent its team doctor to prison for life, Reuters reporter Ben Clayman.
00:00:18
>> Sponsorship industry executives I spoke with said there's a lot more pain ahead, possibly lasting into the 2020 Summer Games in Tokyo, before the sport can put this behind it.>> AT&T this week is the latest to suspend sponsorship. The company's decision coming in mid-testimony from top gymnasts and other women who detailed years of abuse by Dr.Larry Nassar under disguise of medical care.
00:00:43
Nasser was sentenced up to 175 years behind bars. Other companies that ended or didn't renew expiring deals include Under Armour, Proctor and Gamble, Hershey and Kellogg. Such deals can generate millions of dollars in revenue and can account for about 20 to 33% of USA Gymnastics annual revenue according to industry analyst.
00:01:06
USA Gymnastics declined to address the loss of sponsors or discuss its finances which are bound to take more hits as the low drip of bad news continues.>> The sports federation still faces another sentencing hearing for Nasser next week at a different Michigan court on similar charges. And meanwhile, critics are calling for the entire Board of the sport to step downfor its mishandling of the scandal.
00:01:33
>> The federation which began in 1963 with barely 7,000 competitors, today boasts more than 174,000 athletes and professionals as members according to its website.