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"When news broke a few weeks ago that Tiger Woods had signed an endorsement deal to hawk a heat rub in Japan, it was hard not to think of Lost in Translation, or of the Entourage episode when Vincent Chase goes to China to do an energy drink commercial because he\u2019s out of money.\nAlthough Woods was likely paid in the single-digit millions for the spot &amp;#8212; in which he takes a swing, rubs his back, and says, \u201CGo Vantelin!\u201D &amp;#8212; it\u2019s a far cry from campaigns for PepsiCo \n\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\tPEP\n\t\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\n\t\t\t, Gillette, and Accenture \n\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\tACN\n\t\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\n\t\t\t. The last time Woods showed up in Japanese TV ads was in 1997, when he promoted Asahi Wonda coffee, back before he became a phenomenon. So the deal with Kowa (maker of the rub) seems more like a moment of desperation than a return to form.\nIt\u2019s no secret that Woods, once king of the sports world, has suffered financially since his fall from grace. His endorsement list shrank and his marriage ended in a divorce settlement reportedly worth $100 million. But now he may actually be hurting for funds. At the very least, there are signs that he isn\u2019t generating enough to comfortably cover his costs.\nEarlier this week, the golfer\u2019s agent, Mark Steinberg, announced he would be joining the agency Excel Sports. Although that means Excel gets Woods too, the icon was conspicuously absent from the announcement. Steinberg left IMG at the end of May. It took two weeks, but on June 7, Woods announced via Twitter that he would be leaving with Steinberg.\nIMG declined to comment on the details of Steinberg\u2019s departure, or on Tiger Woods, but a trusted Fortune source with reliable information tells us that IMG was none too broken up about losing Woods, because his endorsement earnings have fallen so dramatically. The source says IMG\u2019s commissions for 2011 &amp;#8212; they\u2019ll continue to get a chunk of Tiger\u2019s endorsement deals through 2013 &amp;#8212; will be as low as $1.5 million.\nThat\u2019s a huge drop from two years ago. With giants like Gillette, Accenture, Tag Heuer, and Gatorade having jumped ship, Tiger\u2019s major deals are down to three: Nike \n\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\tNKE\n\t\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\n\t\t\t, Electronic Arts \n\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\tERTS\n\t\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\n\t\t\t, and Kowa. His EA Sports video game, Tiger Woods PGA Tour \u201812, set a first-week franchise record of 225,000 games sold. But our source also tells us that Tiger\u2019s Nike money fell by as much as 50% in 2010 (to about $10 million, down from $20 million in 2009) and that he will get the same reduced amount for 2011. The reason? Nike penalized him for his indiscretions, reducing his payment for two years as a response to his public behavior. Nike had no comment.\nThat Nike would have renegotiated Tiger\u2019s contract to give him a temporary pay cut may be hard to believe, but Bob Dorfman of Baker Street Advertising says, \u201CThat\u2019s not surprising. They\u2019re not going to release him entirely, because that\u2019s not the way they are, but [a pay reduction] would not surprise me at all.\u201D\nAs for the Kowa deal, Dorfman estimates its value at $4 million. Doug Shabelman of Burns Entertainment &amp;amp; Sports Marketing believes it\u2019s worth around $3 million.\nRecent valuations of Tiger\u2019s overall endorsement earnings for 2011 have been between $60 million and $75 million. But based on our information about Nike, and on the Kowa estimates, the real number is likely closer to $20 million.\nWoods\u2019 agent adamantly denies the assertion that the golfer is facing financial strain. \u201CTiger Woods is financially sound and strong, contrary to wide-ranging rumors and inaccurate figures in the media,\u201D Steinberg wrote in an email. \u201CStating anything else is incorrect and factually baseless.\u201D\nThe Woods P&amp;amp;L\nAnother factor that has undeniably fizzled is Tiger\u2019s tournament winnings. Woods won no majors in 2009, the first year that\u2019s happened since 2004. He went completely winless in 2010, and this year he\u2019s so far missed the U.S. Open, AT&amp;amp;T National, and British Open due to a knee injury. According to the PGA Tour website, Tiger\u2019s 2011 winnings so far total $571,363. Those are like pennies compared to the $10.9 million, $5.8 million, and $10.5 million he earned in 2007, 2008, and 2009, respectively. In 2010, that dropped to $1.3 million.\nWoods is still young, and undoubtedly one of the greatest golfers alive, but as he continues to stay off the links, that money stream dries up. Meanwhile, Tiger Woods Dubai, a billion-dollar project that was first set to open in 2009 with a golf course, pricey real estate, and restaurant, was scrapped in February.\nAs Tiger\u2019s revenues have declined, his expenses have only climbed. To begin with, there\u2019s the reported $100 million divorce settlement. And last August, Woods took out a $54.5 million mortgage on his home in Jupiter Island, Florida. According to the public document, Woods is required to pay off the mortgage in full by January of 2016, giving him a mere five and a half years to shed the debt. He\u2019s therefore paying more than $10 million each year, including his $431,042 in annual property taxes.\nThat 2010 property tax information comes from the district offices of Martin County, FL, where the home Woods now occupies alone is located. The property, which Woods purchased in 2006 for $44.5 million, is valued at around $47 million (the county values the house at $26.48 million, the land at $20.5 million). His 2010 improvements to the dwelling and the property cost him $6 million, including three separate residential pools, a tennis court, a golf green with a few holes, an elevator, and a 14,736-square foot improvement to the interior of the house &amp;#8212; evidence that Woods is not used to living cheaply. But the pace of his home improvements has slowed, according to online records of the county appraiser\u2019s office. So far there have been none in 2011.\nMark Steinberg says simply that there is no debt on Woods\u2019 Jupiter Island home, and declined to elaborate. But the Martin County clerk\u2019s office confirmed that their records show that the mortgage has not been paid off.\nThe Jupiter Island mega-mansion isn\u2019t the only Woods property. Among others, in 2007 he bought his mother property near his own, in Jupiter Island, for $2.4 million. In 2010, construction on that cost him another $2.6 million. Presumably, it\u2019s Woods himself that pays and will continue to pay all taxes on the home.\nBetween the divorce settlement and his recent mortgage, Tiger has faced recent debts to the tune of at least $160 million, though it\u2019s unknown how much of this he has now paid down. His endorsement earnings will not come close to this in 2011, and he\u2019s no longer adding much to his pot with golf winnings. Nike\u2019s decisive slash to his contract has not helped matters.\n\u201CTiger remains one of the most popular and visible athletes in the world, demonstrated by television ratings, tournament attendance and various empirical polls,\u201D Steinberg says. \u201CHis endorsement future is strong and any additional partnerships will be announced at the appropriate time.\u201D\nTo fix up his financial short game, Tiger Woods is going to have to start making money again the old-fashioned way: by playing the sport he\u2019s known for."^^<http://www.w3.org/2001/XMLSchema#string>
<http://fortune.com/2011/07/15/is-tiger-woods-running-out-of-money/?hpt=hp_t2/>