After Dunn officially signed a contract with Nike, $1.1 million was quickly credited to his account, along with $9.9 million worth of Nike stock.
Over the next six years, Dunn received at least $1.1 million in cash every summer and $9.9 million worth of Nike stock.
Although, in addition to the sneaker contract, Dunn also signed a supplementary stock agreement with Nike.
According to the agreement, Dunn will not be able to liquidate these shares within the next 10 years.
However, Dunn had intended to hold Nike stock for the long term.
On the one hand, it is to maintain a close distance from Nike, and on the other hand, it is also to make investments and pay less taxes.
The sneaker contract will be paid directly in cash, and the personal income tax will be paid at that time.
However, if you convert it into stocks and sell the long-term held stocks in the future, you will pay capital gains tax.
The state tax in Los Angeles is relatively high, the federal tax is the state tax, the personal income tax is almost 50%, and the capital gains tax is only 20%.
Holding stocks and making profits through stocks has become the most common tax avoidance method used by the rich.
In other words, James's seven-year, 93 million contract, even if he does not pay the agent's commission, will only receive 50 million after tax.
Dunn's 87 million contract, even if he does not count the 12 million bonus and stock appreciation, will definitely earn 59 million by then, which is at least 9 million more than James.
What's more, as a small shareholder who provides Nike with help in times of need and is willing to stay and fight side by side.
Dunn's status in the minds of Nike executives is undoubtedly more important than that of James, who is currently more unfamiliar with him.
After becoming a shareholder of Nike, Duan's NBA career will undoubtedly go more smoothly.
By the way, after just signing at the Staples Center in the morning, Duan came to the Staples Center again in the afternoon, dressed in a suit and leather shoes, to attend the sneaker signing press conference jointly organized by the Lakers and Nike.
This time there was quite a stir. Not only did ESPN send people over, but ABC and TNT also came with people and equipment.
In addition, "Sports Illustrated", the vanguard of James' advocacy, also sent a commissioner here, and later deliberately arranged a private interview with Dunn.
Originally, Duane was just a shooting star, because of his amazing performance in the Long Beach Summer League, which shocked North American fans for a while.
However, after this battle, not only fans on the east and west coasts remembered Duan's name, but fans across the United States also knew that Duan became a popular player in the 2003 draft.
At the press conference, although Nike did not announce the specific amount of the contract, it also revealed that this was an unexpected sky-high contract.
When accepting questions from reporters, Dunn also revealed that he not only joined the Nike family as a spokesperson, but also had great personal confidence in Nike and exchanged some Nike stocks to become a small shareholder of Nike.
After the news came out, Nike's stock price rose steadily, and its market value increased by as much as 80 million in one day.
This shows that American investors are optimistic about the Chinese market!
Even though Nike's stock price continued to fall due to the Kobe Bryant scandal, the signing of Duane directly brought the stock price back up.
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By the way, after the press conference, Du En thought that nothing would happen to him.
I just thought that since I had a huge sum of money, I should buy a luxury house.
However, with the help of the Lakers' connections and inquiries about the price of a mansion in Beverly Hills, he was ultimately deterred.
Dun instead bought a small villa to live in Irvine, a newly emerging white community.
In recent years, the upsurge of Chinese immigrants to Irvine has begun. Although Irvine is still 70% white and 30% Asian, the proportion of Chinese is constantly rising.
In the past, Koreans accounted for the majority of Asians in Irvine. In recent years, Chinese have come to dominate, followed by Indians.
And because Irvine is a dream place for new immigrants, the Chinese community does not have so many compatriots from Hong Kong, Macao and Taiwan and survivors of the previous dynasty, so they basically all speak Mandarin.
Du En has no pressure to speak English at work, but if he can hear Mandarin in life, he will naturally feel more comfortable.
Especially when you go to a Chinese restaurant in the community to eat, even the person who washes the dishes is a petty bourgeoisie who sold his old courtyard house and immigrated here, and then maintains his yearning for a better life every day, which will give Du En a sense of accomplishment. .
In order to have a relaxed and happy mood every day, Du En finally spent $420,000 to buy a six-bedroom, six-bathroom school district house located in a Chinese community with good teaching resources nearby.
Who would have thought that before the brothers started playing basketball, the school district basketball would be played first. However, Du En doesn't even have a regular girlfriend, let alone father and son playing in the NBA together.
After buying the house, Du En didn't have much money left on hand. After all, he still had to pay taxes.
Just when Duen was about to ask the Lakers to withdraw some salary in advance, the Lakers took advantage of Duen's signing with Nike and took the opportunity to attract a group of sponsors, and then found some endorsements for Duen.
Ever since, Du En is no longer short of money!
Every offseason is the time for teams to attract investment and sign contracts with sponsors.
Therefore, usually when a team signs a long-term contract with its star player, it also affects the team's market value and the team's sponsorship revenue in the next few years.
Warriors owner Lacob is generous to Curry and competes for the championship despite the super luxury tax every year. That's because Curry can indeed make money.
Not to mention the market value of the team, the amount of sponsors alone is two to three billion every year.
The U.S. dollar is relatively valuable these days, and the Lakers' annual sponsorship income is only 30 to 40 million.
Ticket revenue including the playoffs is only 50 to 60 million, and the team's total operating expenses are about 100 million.
Because of O'Neal and Kobe's large contracts, the team's operating costs are rising.
In order to fill this hole, the Bass family naturally wants to start with sponsorship and tickets.
Originally, building the Lakers F4 lineup could effectively attract sponsors and help increase ticket prices in the new season.
Who knew that something would happen to Kobe before the Lakers signed Payton and Malone.
Now that the Eagle County prosecutors have filed an appeal, Kobe is at risk of going to jail, and the Lakers have suffered a lot of losses as a result.
Fortunately, Duan suddenly appeared.
Bass had originally intended to use Chinese players to attract Chinese sponsors.
However, this time it was a mistake. Due to Du En's outstanding performance and Nike's continuous support, Du En gained considerable fame and commercial value as soon as he entered the NBA.
Sponsors that were initially daunted by the Lakers because of Kobe have returned to the negotiating table.
But this time there is an additional requirement. In addition to signing with the Lakers, he also wants to sign a separate contract with Du En.
Obviously, many domestic brands in the United States also want to be like Nike, either using the gimmicks of Chinese players to raise their stock prices, or they want to enter the Chinese market to make money.
Dunn previously signed a contract with the Lakers and handed over the agency rights for commercial endorsements to the Buss family.
Although it still needs Du En's consent in the end, it is still possible to call people over, arrange for them to sit at a table, and talk together.
Duan received a call from Bass Jr., saying that someone was looking for him to represent him.
Knowing that the brand has been screened by the Lakers and is planning to sponsor the Los Angeles Lakers, I guess there won't be any big problems.
Of course, to be conservative, I still added a unilateral termination clause like the Nike contract.
And because the endorsement contract was not big, basically just one million a year, Du En took the cash directly and did not ask for any more shares.
In short, Du En, who had just been short of money, suddenly became rich again.
"Huang Bo is right, when you become famous, you will be surrounded by good people!"
Lying in his new house with a new car parked in the garage, Duan felt quite emotional.
