Lance Armstrong beat cancer, and he conquered the Tour de France seven times. Armstrong now faces another formidable challenge as his brand takes a major hit after the U.S. Anti-Doping Agency released a voluminous report Oct. 10 saying he participated in "the most sophisticated, professionalized and successful doping program that sport has ever seen."
According to CNN, the USADA said the evidence involving the U.S. Postal
Service-sponsored cycling team includes "direct documentary evidence including
financial payments, e-mails, scientific data and laboratory test results that
further prove the use, possession and distribution of performance-enhancing
drugs by Lance Armstrong."In its report, the agency said 11 riders, including George Hincapie, Armstrong's teammate for more than a decade, came forward to acknowledge their use of banned performance-enhancing drugs while on the team. According to the USADA, Hincapie testified that he knew the seven-time Tour de France winner used performance-enhancing drugs, and that Armstrong withdrew from a race in 2000 to avoid a positive drug test.
The USADA banned Armstrong from cycling for life and has ordered that his Tour de France titles be stripped.
The report had been expected. On Aug. 23, Armstrong, who retired from racing in 2011, declined to enter the USADA's arbitration process because he said he was tired of fighting accusations that have followed him since 1999.
"There comes a point in every man's life when he has to say, 'Enough is enough.' For me, that time is now," Armstrong said in a statement sent to the Associated Press. He went on to call the USADA investigation an unconstitutional witch hunt.
"I have been dealing with claims that I cheated and had an unfair advantage in winning my seven Tours since 1999," his statement continued. "The toll this has taken on my family and my work for our foundation and on me leads me to where I am today -- finished with this nonsense."
Armstrong apparently is not the only one finished with this situation, as many of his longstanding endorsers have distanced themselves from the embattled cyclist. Industry experts estimate that Armstrong annually pulled in between $15 million and $18 million from his sponsorship deals, and this scandal will cost him hundreds of thousands of dollars on the corporate speaking tour.
Nike, Armstrong's largest corporate supporter, terminated its arrangement with him Oct. 17.
"Due to the seemingly insurmountable evidence that Lance Armstrong participated in doping and misled Nike for more than a decade, it is with great sadness that we have terminated our contract with him," a Nike spokesman said in a statement. "Nike does not condone the use of illegal performance-enhancing drugs in any manner."
ESPN.com reported that Nike paid Armstrong close to $40 million during the course of the endorsement deal.
The Nike decision came on the same day that Armstrong announced he was stepping down as the chairman of Livestrong, the nonprofit he founded in 1997 to provide support for people affected by cancer.
"This organization, its mission and its supporters are incredibly dear to my heart," Armstrong, a cancer survivor, said in a statement. "Today therefore, to spare the foundation any negative effects as a result of controversy surrounding my cycling career, I will conclude my chairmanship."
Marty Conway, vice president of sports marketing for Imre Communications, said he didn't see Armstrong's stepping down as a public-relations move to help lessen any fallout the nonprofit may take in the court of public opinion.
"It seems to me that Lance believes in the 'it's not who is right, but what is right' principle,' " Conway said. "With his actions in the past, I think it's clear Lance could care less about any public relations, or opinion when he makes a decision. He cares about this cause, finding a cure for cancer, deeply and must believe that this move will help the cause, in some way."
Fortunately for Livestrong, Nike intends to continue its support of the charity's initiatives. Since 2004, Nike and Livestrong have raised more than $80 million for the nonprofit in the sale of the signature yellow Livestrong wristband. Nike also has a line of Livestrong-branded apparel.
Among the major companies following Nike's lead in separating themselves from Armstrong are Anheuser-Busch, Trek and RadioShack.
Trek, which made the bikes Armstrong rode while competing, released a statement saying the company was disappointed by the findings and conclusions in the USADA report regarding Armstrong.
"Given the determinations of the report, Trek today is terminating our long-term relationship with Lance Armstrong," the company said in a statement. "Trek will continue to support the Livestrong Foundation and its efforts to combat cancer."
Anheuser-Busch, which used Armstrong in campaigns promoting its Michelob Ultra line, will end its agreement with Armstrong at the conclusion of the year. Like Nike and Trek, the Missouri-based brewing company pledged to continue its support of the Livestrong Foundation.
Forbes estimated Armstrong's worth at around $125 million. Along with the USADA's report, the champion cyclist will take a hit in his wallet to accompany the damage to his credibility as the findings will likely end his career as a corporate pitchman.
"In the near term, yes, many of Lance's endorsements will terminate, or not be renewed," Conway said. "Those companies that are public, in particular, often flee to the safe harbor when their spokespeople are in deep trouble within the law, or within their sport. In this case, the topic, performance-enhancing drugs, are the new third rail of sports endorsements."
But Americans do love a comeback. Just ask Kobe Bryant. In 2003, a Colorado hotel worker accused the Los Angeles Lakers guard of sexual assault, and he was arrested. He denied the charges, but admitted to committing adultery. The court eventually dismissed the charges and the Lakers superstar proceeded to resurrect his image. Forbes estimates that Bryant's endorsement deals take his annual earnings to around $50 million a year, and the NBA announced in June that his jersey was the top-selling NBA jersey outside the United States.
Although Armstrong's situation is different than the scandal that Bryant faced, Conway said Armstrong should not be counted out either.
"Americans love sports, politics and entertainment," Conway said, "and it's the perfect setting for the three great acts of the American drama -- star on the rise, star takes a great fall and the rise again, though damaged or soiled.
"Lance will be back, on his time. You don't come as close to death as he did, with cancer, and fear anything or anyone. With enhancements or not, Lance Armstrong climbed the biggest mountains in sports. I would never bet against this guy climbing a new mountain."
