There's more to Under Armour CEO's resignation from Trump's council

On Monday morning, after President Trump’s response to the violent rally in Charlottesville, Va., was deemed inadequate by many, Merck CEO Kenneth Frazier stepped down from the president’s American Manufacturing Council.

Late on Tuesday night, Under Armour CEO Kevin Plank became the first to follow suit. And right after Plank, Intel CEO Brian Krzanich became the third CEO to drop. (Here’s a full list of who remains on the council.)

But there’s more to Plank’s move than what happened in Charlottesville. Under Armour has in fact been dealing with Trump-related PR fallout all year.

Under Armour CEO Kevin Plank waits to meet with President Donald Trump and adviser Steve Bannon on Jan. 23, 2017 at the White House. (AP)
Under Armour CEO Kevin Plank waits to meet with President Donald Trump and adviser Steve Bannon on Jan. 23, 2017 at the White House. (AP)

Plank was among a select group of business leaders invited to breakfast with Trump on his very first weekday in office, Monday, Jan. 23. From there, Plank’s association with Trump only caused problems for his sports apparel company.

“A real asset for this country”

In an appearance on CNBC on Feb. 7, Plank was asked to share his opinion of President Trump. Plank answered: “I think he is highly passionate. To have such a pro-business president is something that’s a real asset for this country. I think people should grab that opportunity.”

The sound bite—that Plank called Trump “a real asset” for the country—was widely reported in the media and came at a time when public figures, from CEOs to celebrities to athletes, were speaking out against Trump’s attempted travel ban on seven majority-Muslim countries.

Under Armour’s own sponsored athletes were not pleased, and they spoke out. And Under Armour stock dipped.

The first to say something was NBA star Steph Curry, who is arguably Under Armour’s single most important asset these days.

Curry did not like Plank’s comments about Trump. Speaking to the San Jose Mercury News on Wednesday, Curry said, “I agree with that description, if you remove the -et.” (What does “asset” without the e and t spell?)

The next day, two more Under Armour athletes followed suit.

Professional ballet dancer Misty Copeland posted a statement on Instagram. It read, in part: “I strongly disagree with Kevin Plank’s recent comments in support of Trump… I have spoken at length with Kevin privately about the matter, but as someone who takes my responsibility as a role model very seriously, it is important to me that he, and UA, take public action to clearly communicate and reflect our common values.”

Under Armour’s athletes were urging “public action.” (Now, six months later, they have it.)

Dwayne “The Rock” Johnson, who has an endorsement deal with Under Armour that included the release of an instant-sellout gym sneaker, also posted a statement on Instagram, where he has 76 million followers. Johnson said that Plank’s words, “were divisive and lacking in perspective. Inadvertently creating a situation where the personal political opinions of UA’s partners and its employees were overshadowed by the comments of its CEO… I partner with brands I trust and with people who share my same values. That means a commitment to diversity, inclusion, community, open-mindedness and some serious hard work.” It was a harsh rebuke.