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Takeaway: UA execs are swallowing Tylenol.

UA - Under Armour Suits May Be a Factor in U.S. Speedskating's Struggles In Sochi

$UA: Nightmare In Sochi For Under Armour? - ua

  • "These suits—designed by apparel sponsor Under Armour and billed before the Games as a competitive advantage—have a design flaw that may be slowing down skaters, according to three people familiar with the U.S. team."
  • "Vents on back of the suit, designed to allow heat to escape, are also allowing air to enter and create drag that keeps skaters from staying in the low position they need to achieve maximum speed, these people said. One skater said team members felt they were fighting the suit to maintain correct form."

Key Takeaway from Hedgeye Retail Analyst Brian McGough

Talk about a tough break for UnderArmour. When an athlete in any sport fails to win, it's an easy target to blame the equipment. Are the claims here valid? Possibly. But at this point, that's pretty much irrelevant. All a brand needs is for elite athletes to point a finger, accuse the product of being to blame, and the brand is going to end up with a public relations problem.

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