Nike Strikes E-Commerce Deal With Fogdog

Nike Inc. reversed its policy banning sales to Internet-only retailers and said it is in an alliance with Fogdog Sports to sell its athletic footwear, apparel and sports gear online. Under the deal, Fogdog will be the only “pure play” Internet retailer for at least six months with access to Nike’s full line of products as well as volume discounts normally granted to the manufacturer’s top sales partners. In return, Fogdog, which filed for an initial public offering last week, will give Nike the right to purchase 6.2 million shares, or 12.3% of the company, for just a little more than $1 a share. Beaverton, Ore.-based Nike also would get a seat on Fogdog’s board and undisclosed fees, according to documents filed in connection with the stock offering. Nike’s Class B shares rose $2.56 to close at $56.38 on the New York Stock Exchange.