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Varsity Spirit, LLC, also known as Varsity, is an American
cheerleading Cheerleading is an activity in which the participants (called cheerleaders) cheer for their team as a form of encouragement. It can range from chanting slogans to intense Physical exercise, physical activity. It can be performed to motivate s ...
company owned by
Varsity Brands Varsity Brands, Inc. is an American apparel company owned by the private equity firm Kohlberg Kravis Roberts. It is primarily focused on academic apparel and memorabilia, with its operations split among three major subsidiaries, including Herff ...
. Founded in 1974 as the Universal Cheerleaders Association, the company is a manufacturer of apparel for cheerleading and dance teams, organizer of cheerleading competitions, and operator of training camps and sanctioning bodies. The company's
vertical integration In microeconomics, management and international political economy, vertical integration, also referred to as vertical consolidation, is an arrangement in which the supply chain of a company is integrated and owned by that company. Usually each ...
of competitive cheerleading has faced criticism, including accusations of
anti-competitive Anti-competitive practices are business or government practices that prevent or reduce competition in a market. Antitrust laws ensure businesses do not engage in competitive practices that harm other, usually smaller, businesses or consumers. ...
and
monopolistic A monopoly (from Greek and ) is a market in which one person or company is the only supplier of a particular good or service. A monopoly is characterized by a lack of economic competition to produce a particular thing, a lack of viable sub ...
practices (including opposition to cheerleading being sanctioned as a sport),
conflicts of interest A conflict of interest (COI) is a situation in which a person or organization is involved in multiple interests, financial or otherwise, and serving one interest could involve working against another. Typically, this relates to situations in whi ...
via control of governing bodies, and institutionalizing high financial costs for participation in competitive cheerleading. In 2023 and 2024, Varsity and its previous owners agreed to settle multiple
class action lawsuits A class action is a form of lawsuit. Class Action may also refer to: * ''Class Action'' (film), 1991, starring Gene Hackman and Mary Elizabeth Mastrantonio *Class Action (band), a garage house band * "Class Action" (''Teenage Robot''), a 2002 epi ...
, including those surrounding high financial costs, and conflicts of interest with the U.S. All Star Federation.


History

Varsity Spirit was founded by Jeff Webb, a yell leader at the
University of Oklahoma The University of Oklahoma (OU) is a Public university, public research university in Norman, Oklahoma, United States. Founded in 1890, it had existed in Oklahoma Territory near Indian Territory for 17 years before the two territories became the ...
contemplating law school. After working as a summer camp instructor for
Lawrence "Herkie" Herkimer Lawrence Russell Herkimer (October 14, 1925 – July 1, 2015) was an American innovator in the field of cheerleading. He created the Herkie cheerleading jump, which was named after him, and received a patent for the pom-pom. Herkimer described his ...
's
National Cheerleaders Association The US National Cheerleaders Association (NCA) was established as a way to bring cheerleaders together to learn new skills. Since 1951, the NCA has held summer camps, and is credited with the invention of the herkie jump, the pom-pom, the spirit s ...
(NCA), he attempted, but failed, to acquire part of the company. In 1974, Webb established the Universal Cheerleaders Association (UCA), in an effort to raise the profile of cheerleading, initially by establishing
training camp A training camp is an organized period in which military personnel or athletes participate in a rigorous and focused schedule of training in order to learn or improve skills. Athletes typically utilise training camps to prepare for upcoming events ...
s, and later through promotional campaigns and its National College Cheerleading Championship (which was first held in 1978) and its National High School Cheerleading Championship (which was first held in 1980). Cheerleading had seen declines in participation due to the growth of
women's sports Women and girls have participated in sports, physical fitness, and exercise throughout history. However, the extent of their involvement has varied depending on factors such as country, time, geographical location, and level of economic develo ...
following the introduction of
Title IX Title IX is a landmark federal civil rights law in the United States that was enacted as part (Title IX) of the Education Amendments of 1972. It prohibits sex-based discrimination in any school or any other education program that receiv ...
. Webb first operated the company out of his
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, and only made a profit of US$850 () during his first year of operations. By 2002, Webb estimated that Varsity Spirit held about half of the market, and that 60% of its revenue came from apparel. In 2003, Varsity backed the formation of the U.S. All Star Federation, a sanctioning body for "all-star" cheerleading competitions involving teams from private gyms. In 2004, Varsity acquired National Spirit Group, owner of the NCA (which Webb estimated to have a 25% market share in 2002), giving it control of the sheer majority of the cheerleading industry. In 2005, it acquired the Knoxville-based Athletic Championships LLC and Premier Athletics LLC. In 2007, it backed the formation of USA Cheer, a non-profit led by Webb which aimed to be a sanctioning body for cheerleading (with a goal to back cheerleading as a proposed
Olympic Olympic or Olympics may refer to Sports Competitions * Olympic Games, international multi-sport event held since 1896 ** Summer Olympic Games ** Winter Olympic Games * Ancient Olympic Games, ancient multi-sport event held in Olympia, Greece bet ...
event). In 2011, Varsity Brands merged with
Herff Jones Herff Jones is an American company that manufactures and sells educational recognition and achievement products and motivational materials, and has been in continuous operation since 1920. Herff Jones maintains production facilities across the U ...
, an Indianapolis-based manufacturer of
class ring In the United States and Canada, a class ring (also known as a graduation, graduate, senior, or grad ring) is a ring (jewellery), ring worn by students and alumni to commemorate their final academic year and/or graduation, generally for a high ...
s, caps and gowns, and
yearbooks A yearbook, also known as an annual, is a type of Annual publication, a book published annually. One use is to record, highlight, and commemorate the past year of a school. The term also refers to a book of statistics or facts published annually ...
; Webb was named president and COO in December 2012, and the merged company took on the
Varsity Brands Varsity Brands, Inc. is an American apparel company owned by the private equity firm Kohlberg Kravis Roberts. It is primarily focused on academic apparel and memorabilia, with its operations split among three major subsidiaries, including Herff ...
name in 2014. In 2012, it acquired '' American Cheerleader'' magazine from
Macfadden Communications Group Macfadden Communications Group is a publisher of business magazines. It has a historical link with a company started in 1898 by Bernarr Macfadden that was one of the largest magazine publishers of the twentieth century. History Macfadden Publ ...
, with the publishers of Memphis-based teen magazine ''Justine'' producing the magazine.
Charlesbank Capital Partners Charlesbank Capital Partners is an American private equity investment firm based in Boston and New York City that specializes in the middle market. The firm has $23B of total assets across three investment strategies: flagship middle market p ...
acquired Varsity Brands in 2014, after which it began to place a larger focus on club-based "all-star" cheerleading. In 2015, it acquired JAM Brands, which had been the company's main competitor in the 2010s. In 2016, Varsity Brands
sued A lawsuit is a proceeding by one or more parties (the plaintiff or claimant) against one or more parties (the defendant) in a civil court of law. The archaic term "suit in law" is found in only a small number of laws still in effect today. T ...
Star Athletica, a competing manufacturer of cheerleading uniforms established by The Liebe Company (which was formerly contracted with Varsity), for
copyright infringement Copyright infringement (at times referred to as piracy) is the use of Copyright#Scope, works protected by copyright without permission for a usage where such permission is required, thereby infringing certain exclusive rights granted to the c ...
over similarities in designs between their products. The
Supreme Court In most legal jurisdictions, a supreme court, also known as a court of last resort, apex court, high (or final) court of appeal, and court of final appeal, is the highest court within the hierarchy of courts. Broadly speaking, the decisions of ...
ruled in favor of Varsity, establishing that aesthetic elements of a useful article can be protected if they are a copyrightable artistic work, and are identifiable as art when mentally separated from the practical aspects of the item. In 2017, BSN Sports CEO Adam Blumenfeld replaced Webb as CEO. In July 2019, the company introduced a new division, "Varsity Pro", which focuses on providing apparel and services for professional cheer and dance teams, such as those of professional sports franchises. The division's first partnership as outfitter was with the
NBA The National Basketball Association (NBA) is a professional basketball league in North America composed of 30 teams (29 in the United States and 1 in Canada). The NBA is one of the major professional sports leagues in the United States and Ca ...
's
Memphis Grizzlies The Memphis Grizzlies (referred to locally as the Grizz) are an American professional basketball team based in Memphis, Tennessee. The Grizzlies compete in the National Basketball Association (NBA) as a member of the Southwest Division of the ...
. It also acquired SA Feather Co. and Stanbury Uniforms to expand into the
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market. On December 9, 2020, Webb announced that he would step down from Varsity. In a 2021 interview with ''
Sportico Penske Media Corporation (PMC ) is an American mass media, publishing, and information services company based in Los Angeles and New York City. It publishes more than 20 digital and print brands, including ''Variety (magazine), Variety'', ''Rol ...
'' after the
International Olympic Committee The International Olympic Committee (IOC; , CIO) is the international, non-governmental, sports governing body of the modern Olympic Games. Founded in 1894 by Pierre de Coubertin and Demetrios Vikelas, it is based i ...
(IOC) voted to recognize the ICU, Webb stated that he had divested himself of Varsity, recently had "a very favorable liquidity event", and "was looking around with what I want to do with this phase of my life." Varsity's former vice president of corporate alliances and business development, Marlene Cota, stated that Webb's role in the company had begun to lessen after the sale to Charlesbank. After his departure, Webb became the new co-publisher and senior news editor of the
conservative Conservatism is a cultural, social, and political philosophy and ideology that seeks to promote and preserve traditional institutions, customs, and values. The central tenets of conservatism may vary in relation to the culture and civiliza ...
publication ''
Human Events ''Human Events'' is an American conservative political news and analysis website. Founded in 1944 as a print newspaper, ''Human Events'' became a digital-only publication in 2013. ''Human Events'' takes its name from the first sentence of the U ...
.''


American Cheerleader

''American Cheerleader'' was the first and largest national teen magazine dedicated to covering sideline and competitive cheerleading. It was founded in 1995 and based in Memphis, Tennessee. Staff included Editor-in-Chief Jackie Martin and Managing Editor Kim Conley. Inspired by the popularity and competitive nature of cheerleading in the early 1990s, publishing executive Michael Weiskopf started a magazine to take advantage of its evolving culture. The first issue was published in New York in January 1995. It was published by Lifestyle Ventures, LLC, and the first issue featured
University of Maryland The University of Maryland, College Park (University of Maryland, UMD, or simply Maryland) is a public land-grant research university in College Park, Maryland, United States. Founded in 1856, UMD is the flagship institution of the Univ ...
cheerleader Penny Ramsey, who went on to become a castaway in Thailand on the CBS show ''
Survivor Survivor(s) may refer to: * one who survives Arts, entertainment and media Fictional entities * Survivors, characters in the 1997 KKnD series#Armies, ''KKnD'' video-game series * ''The Survivors'', or the ''New Survivors Foundation'', a fictional ...
'' in 2002. Special Collector's Editions were produced in February 2005 and February 2010 to commemorate the magazine's 10th and 15th anniversaries. Lifestyle Media, Inc. was acquired by Macfadden Performing Arts Media, LLC in 2006. Varsity Spirit bought the magazine in 2012. ''American Cheerleader'' covered training tips for stunting and tumbling, tryout advice, team building activities, beauty, fashion, fitness and how to balance schoolwork and cheer. All issues feature a Cheerleader of the Month, Spotlight Squad and Awesome Athletes. 'Cheerleaders of the Month' were recognized for their talent, academic achievement and community involvement. Past celebrity covers have included Debby Ryan, Erica Joy Allen, Krystyna Krzeminski,
Kendall Jenner Kendall Nicole Jenner (born November 3, 1995) is an American model, socialite and media personality. She rose to fame in the reality television show ''Keeping Up with the Kardashians,'' in which she starred for 20 seasons and nearly 15 years ...
,
Heather Morris Heather Elizabeth Morris is an American actress, dancer, and singer. She played the role of Brittany S. Pierce in the Fox musical comedy-drama series ''Glee''. Early life Morris was born in Thousand Oaks, California, and raised in Scottsdale, ...
,
Francia Raisa Francia Raisa Almendárez (born July 26, 1988) is an American actress. Raisa is known for her roles in '' Bring It On: All or Nothing'', '' The Secret Life of the American Teenager'', '' Grown-ish'', and '' How I Met Your Father''. Early life ...
,
Christina Milian Christina Milian ( , Flores; born September 26, 1981) is an American singer, songwriter, and actress. Following a number of minor television and film roles in the late nineties, Milian made her recording debut on American rapper Ja Rule's 20 ...
,
Kirsten Dunst Kirsten Caroline Dunst (; born April 30, 1982) is an American actress. She made her acting debut in the anthology film ''New York Stories'' (1989) and has since starred in several film and television productions. She has received several awar ...
,
Mýa Mya Marie Harrison (; born October 10, 1979), known professionally as Mýa, is an American singer, songwriter, dancer, record producer, and actress. She was born in Washington D.C. and studied ballet, jazz, and tap dance as a child. Her ca ...
,
Hilarie Burton Hilarie Ros Burton (born July 1, 1982), also known as Hilarie Burton Morgan, is an American actress. A former host of MTV's ''Total Request Live'', she portrayed Peyton Sawyer on The WB/The CW drama '' One Tree Hill'' for six seasons (2003–200 ...
,
Ashley Tisdale Ashley Michelle Tisdale (born July 2, 1985) is an American actress and singer. During her childhood, she was featured in over 100 advertisements and had minor roles on-screen and in theatre. She achieved mainstream success as Maddie Fitzpatric ...
, and
Olivia Holt Olivia Hastings Holt (born August 5, 1997) is an American actress and singer. She starred in the Disney XD series ''Kickin' It'', List of Disney Channel original films, Disney Channel Original Movie ''Girl vs. Monster'', and the List of program ...
. ''American Cheerleader'' has also made its way into every sequel of the '' Bring It On'' films. Their website, Americancheerleader.com, featured cheer news and trends, training tips, featured athletes and step by step videos of stunting, tumbling and cheer skills.


Market position

Varsity Spirit has been described as having a
monopoly A monopoly (from Greek language, Greek and ) is a market in which one person or company is the only supplier of a particular good or service. A monopoly is characterized by a lack of economic Competition (economics), competition to produce ...
position in cheerleading in the United States, due to extensive
vertical integration In microeconomics, management and international political economy, vertical integration, also referred to as vertical consolidation, is an arrangement in which the supply chain of a company is integrated and owned by that company. Usually each ...
of apparel businesses, training camps, affiliated gyms, cheerleading competitions, and sanctioning bodies, as well as acquisitions of competitors. Varsity has been accused of engaging in
anti-competitive practices Anti-competitive practices are business or government practices that prevent or reduce Competition (economics), competition in a market. Competition law, Antitrust laws ensure businesses do not engage in competitive practices that harm other, u ...
; the company signs gyms to multi-year agreements, under which they receive rebates if they exclusively purchase apparel from the company, and participate in Varsity-run competitions. Only Varsity-owned brands are allowed to exhibit and market their apparel at its events, hindering the ability for competitors to do the same. Although there are no restrictions on use of non-Varsity apparel by participants in the competitions proper, in 2010 Webb testified that in at least one competition, teams received more points if they used Varsity-produced props. Varsity also has effective control of affiliated governing bodies for cheerleading. USA Cheer, a non-profit governing body for cheerleading, was established by Varsity Spirit with a no-interest loan, and is staffed by six contracted Varsity Spirit employees. The U.S. All Star Federation (USASF), a governing body for private cheer and dance squads, was formed in 2003 with financial backing by Varsity Spirit via a no-interest loan. Although Varsity Spirit officially states that it does not own the USASF, its board was effectively controlled by Varsity Spirit by means of six of its 15 board members, and by-laws requiring seven seats to be filled by representatives of a group of Varsity Spirit-controlled cheerleading and dance associations. The company also paid the salary of its president, and its vice president of events and corporate alliances. In 2011, the USASF threatened to ban its members from participating in Varsity-run events if they participate in competing world championships not run by the company. Varsity was also involved in the establishment of the
International Cheer Union The International Cheer Union (ICU) is the worldwide sports governing body of cheerleading (also known as "Cheer") and was founded in 2004. It is recognized by SportAccord / Global Association of International Sports Federations (GAISF), and is ...
(ICU). Under a "Stay Smart" scheme, attendees of events were also required to book accommodations with specific providers vouched by Varsity, which were accused of having paid
kickbacks A kickback is a form of negotiated bribery in which a commission is paid to the bribe-taker in exchange for services rendered. Generally speaking, the remuneration (money, goods, or services handed over) is negotiated ahead of time. The kickback ...
to the company.


Classification of cheerleading as a sport

Varsity Spirit and its affiliates have lobbied against proposals for cheerleading to be sanctioned as a sport, including proposals by California, and Texas's
University Interscholastic League The University Interscholastic League (UIL) is an organization that creates rules for and administers almost all athletic, musical, and academic contests for public primary and secondary schools in the U.S. state of Texas. It is the largest organ ...
(UIL), arguing that this would result in increased oversight and regulation that would be detrimental to its business and self-oversight. In 2015, the UIL announced a pilot "Spirit Championship", whose judges would be trained and provided by Varsity Spirit. In 2010, Webb was called upon as an expert witness in a
Title IX Title IX is a landmark federal civil rights law in the United States that was enacted as part (Title IX) of the Education Amendments of 1972. It prohibits sex-based discrimination in any school or any other education program that receiv ...
case involving
Quinnipiac University Quinnipiac University ( ) is a private university in Hamden, Connecticut, United States. The university grants undergraduate, graduate, and professional degrees. It also hosts the Quinnipiac University Polling Institute. History What became ...
, which had redirected money out of women's sports to its all-women cheerleading team under the argument that it was a sport. In his testimony, Webb stated that he did not consider cheerleading to be a sport, as he primarily considered Varsity's competitions to be a promotion for its lines of business. A federal judge held that cheerleading "does not qualify as a varsity sport for the purposes of Title IX".


Antitrust settlements

In 2020, a proposed class action lawsuit was filed against Varsity Brands, alleging that it used its "undue influence and control" over affiliated bodies to maintain its monopoly in competitive cheerleading and scholastic apparel, including requiring participation in Varsity-run training camps in order to attend its competitions, participation in its insurance plans, and the aforementioned rebate program, which institutionalized financial costs for participation in competitive cheerleading. Varsity responded to the suit, arguing that they "welcome the kind of competition that enhances the cheer marketplace", and accused competitors of "seeking to chill that marketplace through the Courts. We are contesting this flawed diversion from an otherwise dynamic industry with energy, resources and determination." In March 2023, Varsity Brands agreed to pay $43.5 million to settle one of the antitrust cases, ''Fusion Elite All Stars, et al. v. Varsity Brands LLC, et al,,'' targeting "direct purchasers"; under the settlement, Varsity agreed to stop paying the salaries of USASF executives, and prohibit its board members from occupying seats on the USASF board. In addition, the USASF agreed to not allow any one cheerleading body from controlling more than 40% of the voting seats on its board. In May 2024, Varsity settled ''Jessica Jones, et al., v. Varsity Brands, LLC, et al.'', with the company and its prior owners agreeing to pay out $82.5 million to "indirect" purchasers who paid for registration fees or purchased apparel from Varsity. As part of the settlement, Varsity also agreed to no longer require competitors to participate in its training camps, phase out the "Stay Smart" scheme, and to restrict the sharing of confidential information from other USASF members to Varsity.


Sexual misconduct

In September 2020, ''
USA Today ''USA Today'' (often stylized in all caps) is an American daily middle-market newspaper and news broadcasting company. Founded by Al Neuharth in 1980 and launched on September 14, 1982, the newspaper operates from Gannett's corporate headq ...
'' published a report accusing governing bodies tied to Varsity Spirit of allowing 180 individuals (including coaches, choreographers, and others) indicted for
child sexual abuse Child sexual abuse (CSA), also called child molestation, is a form of child abuse in which an adult or older adolescent uses a child for sexual stimulation. Forms of child sexual abuse include engaging in Human sexual activity, sexual activit ...
— 140 of whom having been convicted — to continue participating in activities. It found that their list of
blacklisted Blacklisting is the action of a group or authority compiling a blacklist of people, countries or other entities to be avoided or distrusted as being deemed unacceptable to those making the list; if people are on a blacklist, then they are considere ...
individuals only contained 21 people, and was only amended and expanded following reports made by the paper. In September 2022, a federal lawsuit was filed in Memphis against Varsity Brands, Varsity Spirit, and the estate of Scott Foster (a gym owner who had killed himself while under investigation for child sexual abuse), by six alleged victims of Foster. The suit alleged negligence in violation of the
Protecting Young Victims from Sexual Abuse and Safe Sport Authorization Act of 2017 The Protecting Young Victims from Sexual Abuse and Safe Sport Authorization Act of 2017, also known as the Safe Sport Authorization Act, is an American law that establishes protection for young athletes. Among its provisions, it established the ...
, including that Varsity made no effort to prohibit Foster from attending its sanctioned events, even after his suspension from the USASF in 2018.


All Star Scoring

All Varsity Spirit competitions follow a shared scoring system. This system varies slightly per team depending on the age, level, and coed of the division. Unlike previous seasons the 2021-2022 scoring system is based on 50 points instead of 100. This resulted in major shifts in the allocation of points within the sections of the cheerleading routines. Before the 2021-2022 season, the scoring system in Varsity Spirit and USASF governed competitions was straightforward. The scoring followed the main divisions of an all star cheerleading routine, stunts, pyramid, jumps, tosses, running tumbling, standing tumbling and dance. Each of these sections were allocated ten points, five for difficulty and five for execution except for dance. The scoring also allocated ten points for both performance and routine composition, five points to for stunt and pyramid creativity, and five points for stunt quantity. Lastly for coed teams five points were used to score coed stunts, non-coed teams were given a five. This scoring results in 100 possible points without deductions. The 2021-2022 season scoring system changed most dramatically in that the major sections of the routine were no longer scored evenly. Stunts, pyramid, standing tumbling and running tumbling are allocated eight points, four for difficulty and four for execution; tosses and jumps were allocated four, two for difficulty and two for execution; and dance was only given two points. The amount allocated to routine composition dropped to two points while performance was dropped entirely, instead there are now two points allocated to a similar category, overall impression. Stunt and pyramid creativity are now allocated one point each. Another large change, mainly for all girl teams, is the change of the scoring sheet from coed teams to not coed teams. Meaning, coed teams still get scored on their coed stunts, unless they are an international team, however, the all-girl and international coed teams have the coed scoring section replaced with stunt quantity. This scoring results in 50 possible points which is doubled to obtain 100 possible points.


References


External links

*
American Cheerleader
magazine former website {{Webarchive, url=https://web.archive.org/web/20220713223212/https://www.americancheerleader.com/ , date=2022-07-13 Organizations based in Memphis, Tennessee 1974 establishments in the United States American cheerleading organizations Arts organizations established in 1974 Sports organizations established in 1974