NEW YORK (TheStreet) -- AT&T's (T) decision to cut Tiger Woods loose from their sponsorship agreement is, to many, yet another example of how badly the Woods' scandalous behavior has damaged his sponsors' corporate investors.
In fact, a UC Davis study published last week concluded that Woods' actions -- and the resulting scandal -- have reduced shareholder value in sponsor companies by 2.3%, or as much as $12 billion. The conclusion was based on calculations for eight sponsors: Accenture (ACN), AT&T (T), Electronic Arts (ERTS) (makers of Tiger Woods PGA Tour Golf), Proctor and Gamble (PG) (parent of Tiger sponsor Gillette), Nike (NKE), PepsiCo (PEP) parent of Tiger sponsor Gatorade), TLC Vision (TLC) and Conde Nast (publisher of Golf Digest).
Examples of what seemed like just another stark reminder that even the golfing great is dispensable include the PGA tour chief's public declaration about how golf can move on without Woods as well as Accenture's quick and efficient elimination of any trace of Woods from its offices -- from posters to sales presentations.
"Total shareholder losses may exceed several decades' worth of Tiger Woods' personal endorsement income," the UC Davis researchers wrote.Still, even the brightest scandals eventually burn out, and signs are emerging that Woods could ultimately reemerge from his indefinite leave from golf as a formidable money-making force. Despite the scandal, Nike, Electronic Arts, Upper Deck, NetJets and TLC Vision have remained with Woods. Likewise, the Tiger Woods Dubai resort in the United Arab Emirates continues to move forward, as does Tiger Woods PGA Tour Online, which Electronic Arts' EA Sports announced on Monday is still a go. The "Tiger Woods PGA Tour Online is a breakthrough experience," Peter Moore said it a blog post.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV