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CNBC Exclusive: Transcript: Under Armour CEO Kevin Plank & MLB Commissioner Rob Manfred Speak with CNBC’s Sara Eisen on “Squawk on the Street” Today

WHEN: Today, Wednesday, December 7th

WHERE: CNBC's "Squawk on the Street"

Following is the unofficial transcript of a CNBC EXCLUSIVE interview with Under Armour CEO Kevin Plank and Major League Baseball Commissioner Rob Manfred on "Squawk on the Street" (M-F, 9AM-11AM ET) in an exclusive interview today, Wednesday, December 7th. Following is a link to the video on CNBC.com: http://video.cnbc.com/gallery/?video=3000574206.

All references must be sourced to CNBC.

SARA EISEN: UNDER ARMOUR, MAJOR LEAGUE BASEBALL AND FANATICS ANNOUNCING A BIG APPAREL DEAL THIS WEEK. STARTING IN 2020 UNDER ARMOUR WILL TAKE OVER AS THE OFFICIAL UNIFORM SUPPLIER FOR MAJOR LEAGUE BASEBALL. AND JOINING US NOW EXCLUSIVELY TO TALK ABOUT THE LANDMARK DEAL IS UNDER ARMOUR CEO KEVIN PLANK AND MAJOR LEAGUE BASEBALL COMMISSIONER ROB MANFRED. GOOD TO SEE YOU BOTH HERE AT POST NINE. WELCOME.

KEVIN PLANK: GREAT TO SEE YOU, THANK YOU.

EISEN: SO, KEVIN, THIS IS UNDER ARMOUR'S FIRST BIG MAJOR SPORTS LEAGUE DEAL. HOW BADLY DID YOU WANT IT?

PLANK: SO OF THE FOUR MAJOR U.S. SPORTS, YES, THIS IS OUR FIRST DEAL. SO WE'VE HAD LOTS OF RELATIONSHIPS, EPL CLUBS IN EUROPE, A LOT OF BIG COLLEGIATE DEALS, YOU'VE SEEN THE SIGN RECENTLY. BUT TO TAKE DOWN ONE OF THE LEAGUES WITH AND MOST IMPORTANTLY A LEAGUE THAT WE THINK HAS SUCH INCREDIBLE MOMENTUM, SUCH INCREDIBLE LEADERSHIP AND FRANKLY A VISION OF WHAT IT CAN BE AND THE DEFINITION OF AMERICA'S PASTIME MEANS THE WORLD TO US. SO ESPECIALLY AS WE LOOK TO GROW OUT BEING A GLOBAL BRAND, THERE'S NOTHING MORE SORT OF ICONICALLY AMERICAN THAN THE SPORT OF BASEBALL. IT'S AN EASY STEP FOR OUR COMPANY AND REALLY MAKES SENSE FOR THE BRAND.

EISEN: SO YOU'RE A GLOBAL BRAND. YOU'RE ALSO A BRAND THAT SKEWS YOUNGER. AND, ROB, I HAVE TO THINK THAT THAT'S PART OF YOUR STRATEGY HERE. BASEBALL DESPERATELY NEEDS SOME YOUNGER FANS RIGHT NOW.

ROB MANFRED: WELL, WE LOVE THE IDEA THAT UNDER ARMOUR'S A BRAND THAT YOUNG PEOPLE LIKE. WE LIKE THE EMPHASIS ON PERFORMANCE, ATHLETE PERFORMANCE HUGE FOR US. AND QUITE FRANKLY WE FOUND KEVIN'S ENERGY TO BE REALLY APPEALING IN TERMS OF TRYING TO MOVE OUR SPORT FORWARD.

EISEN: WHAT ABOUT THE GLOBAL EXPANSION? TRYING TO TAKE BASEBALL ABROAD. HOW IMPORTANT OF A GOAL IS THAT?

MANFRED: WE HAVE BIG PLANS INTERNATIONALLY. A KEY FEATURE OF THE BASIC AGREEMENT WE JUST NEGOTIATED WILL BE AN INCREASE IN OUR INTERNATIONAL PLAY. WE HAVE A GREAT NEW DEAL IN CHINA. KEVIN'S VERY STRONG IN CHINA. AND WE'RE ANXIOUS TO TRY TO BUILD OUR INTERNATIONAL FOOTPRINT.

EISEN: YEAH, I MEAN, I GOT TO SEE THAT FIRSTHAND.

PLANK: YES, YOU DID.

EISEN: A FEW MONTHS AGO.

PLANK: DIFFERENT SPORT.

EISEN: TRUE. INTERNATIONAL EXPANSION IS HUGE FOR UNDER ARMOUR. HOW DO YOU DEAL WITH A NEW ADMINISTRATION THEN NOW THAT IS THREATENING TO PUNISH COMPANIES THAT TAKE JOBS OVERSEAS AS YOU'RE TRYING TO AT THE SAME TIME GROW YOUR FOOTPRINT OVERSEAS?

PLANK: SO OUR INTERNATIONAL BUSINESS WAS UP 74% LAST QUARTER. WE SEE IT CLOSING AROUND 50% PLUS FOR THE YEAR. INTERNATIONAL BIG FOR US BUT STILL ONLY ABOUT 15% OF OUR TOTAL BUSINESS. SO WE'VE GOT ROOM TO GROW THERE. JUST TO ANSWER THE FIRST PART OF THE QUESTION, WE WANT TO MAKE SURE WE'RE GOING TO DO THINGS GLOBALLY, INTERNATIONALLY BUT ALSO MAKE SURE BASEBALL IS DRIVING HERE. ONE THING WE TALKED TO THE COMMISSIONER AS WE LOOKED AT THIS DEAL WHEN MAKING THIS BETWEEN FANTATICS AND OURSELVES AND PEOPLE PLAYING BASEBALL WAS HOW DO WE GET YOUNG PEOPLE TO PLAY TO REALLY INCREASE THE GAME. AND AS FAR AS THE WAY POLITICS WILL PLAY INTO THIS, I THINK YOU HAVE A LOT OF CURIOUS PEOPLE ON THE ADMINISTRATION SIDE RIGHT NOW TRYING TO DETERMINE POLICY. NOTHING'S IN STONE. SO SPECULATING ON ANY OF THAT WOULDN'T BE -- PROBABLY WOULDN'T BE THE RIGHT THING TO DO. BUT I WOULD SAY IS I THINK THEY'RE ASKING A LOT OF QUESTIONS AND THEY'RE ASKING BUSINESS ABOUT THE THINGS THAT CAN HELP THEM. SO I THINK THIS IS VERY EXCITED FOR THE FUTURE AND, YOU KNOW, REGARDLESS OF ADMINISTRATION I THINK WE'D FEEL THAT WAY.

EISEN: NOTHING'S IN STONE, BUT THERE ARE STATEMENTS AND TWEETS AND COMPANIES HAVE BEEN SPECIFICALLY CALLED OUT. PRESIDENT-ELECT TRUMP WAS NAMED "TIME" MAGAZINE PERSON OF THE YEAR THIS MORNING, AND IN THE ARTICLE THEY QUOTE HIM COMMENTING ON HOW HE'LL HANDLE COMPANIES THAT ARE PLANNING ON LEAVING THE U.S. TO OUR CONVERSATION, SPEAKING TO HIS CHIEF OF STAFF REINCE PRIEBUS, TRUMP SAYS, QUOTE, HEY, REINCE, I WANT TO GET A LIST OF COMPANIES THAT HAVE ANNOUNCED THEY'RE LEAVING. I CAN CALL THEM MYSELF, FIVE MINUTES A PIECE. THEY WON'T BE LEAVING, OKAY? KEVIN, IF TRUMP CALLED TODAY AND SAID THEY WON'T BE LEAVING, HOW DO YOU RESPOND?

PLANK: CONGRATULATIONS, MR. PRESIDENT-ELECT, I'D START THERE. AND THEN I'D MOVE INTO SOME PLEASANTRIES ABOUT WHAT'S HAPPENING. SAY FIRST AND FOREMOST WE'RE NOT GOING ANYWHERE. WE JUST ANNOUNCED A NEW 1,000 -- EXCUSE ME, 1.3 MILLION SQUARE FOOT NEW E-COMMERCE DISTRIBUTION FACILITY IN BALTIMORE CITY BRINGING JOBS BACK TO THE CITY. I KNOW 1,000 JOBS THERE THAT DON'T GET REPORTED ON. COMPANIES WANT TO DO THE RIGHT THING. THE POSITIONS OF THIS ACRIMONIOUS RELATIONSHIP BETWEEN GOVERNMENT AND BUSINESS, I THINK IT'S A BIT MISGUIDED. IT'S ABOUT TIME FOR THINGS TO GET RIGHTED WITH THAT IS BECAUSE FIRST AND FOREMOST PEOPLE IN BUSINESS THEY WANT TO DO THE RIGHT THING. SO EVERYONE WANTS TO DO THE IF THE RIGHT THING IS BUILDING HERE --

EISEN: THEY WANT TO DO THE RIGHT THING FOR SHAREHOLDERS, TO SAVE COSTS –

PLANK: OF COURSE BUT I BELIEVE THAT SHIFT IS HAPPENING. WE'RE DOING WHAT'S RIGHT FOR SHAREHOLDER AND PARTICULARLY CONSUMER FACING BRANDS IS ALSO DOING ABOUT WHAT'S RIGHT FOR YOUR COMMUNITY AND YOUR OWN PEOPLE.

EISEN: AND, ROB, SPECIFICALLY IN THIS DEAL THERE ARE SOME QUESTIONS ABOUT A CERTAIN FACTORY IN PENNSYLVANIA OWNED BY MAJESTIC, WHICH IS THE MAKER OF THE UNIFORM, 600 PEOPLE WORK THERE. AND IT'S UNCLEAR AS TO WHETHER THEY'RE GOING TO CONTINUE TO MAKE THOSE UNIFORMS. ARE YOU GOING TO TRY TO MAKE A DEAL THERE? HAVE UNDER ARMOUR BUY IT OR CONTRACT IT?

MANFRED: WE'RE WORKING REALLY HARD TO MAKE SURE THAT WE DO EVERYTHING POSSIBLE TO PRESERVE THOSE JOBS. WE'VE HAD A LONG AND VERY POSITIVE RELATIONSHIP WITH THE PEOPLE THAT WORK IN THAT FACTORY. THEY DO QUALITY WORK. AND I'M HOPEFUL WE'LL BE ABLE TO ACCOMPLISH THAT.

EISEN: NOT GOING TO CLOSE IT? NO PLANS TO CLOSE IT?

MANFRED: NOT OURS TO CLOSE. IT IS A FACTORY THAT WE HAVE GREAT INTEREST IN IN TERMS OF CONTINUING TO DO BUSINESS THERE. AND HOPEFULLY WE CAN MAKE AN ARRANGEMENT THAT WILL MAKE THAT POSSIBLE.

PLANK: MY FIRST FACTORY OUTSIDE THIS PLACE CALLED BELLAIRE OHIO RIGHT ON THE OHIO, WEST VIRGINIA, PENNSYLVANIA BORDER. AND I SAW WHEN NAFTA CAME THROUGH THE FIRST TIME I WATCHED 186 SEWING OPERATORS, TRANSLATION 57-YEAR-OLD FEMALE OPERATOR WHERE THEY'RE BEING TOLD THEY'RE GOING TO BE RETRAINED BECAUSE ONE OF THEIR CUSTOMERS HAD PULLED OUT. THERE'S NOTHING WORSE THAN WATCHING AMERICAN JOBS LOSE FOR THINGS -- WHAT ARE YOU GOING TO RETRAIN A 57-YEAR-OLD TO DO? THOSE KIND OF THINGS ARE INCREDIBLY IMPORTANT TO US. DOING THE RIGHT THING FOR SHAREHOLDERS, COMPANY AND OF COURSE OUR COMMUNITY IS REALLY IMPORTANT TO ALL OF US. THAT ALIGNS WITH BASEBALL'S THOUGHTS AS WELL, I WOULD IMAGINE.

DAVID FABER: THAT ALSO MEANS MOVING MANUFACTURING WHERE I WOULD ASSUME IT'S THE LOWEST COST TO OBVIOUSLY KEEP YOUR COSTS IN LINE AND MAKE SURE THAT YOU ARE STILL IN AN APPROPRIATE PLACE IN TERMS OF PRICING IN THE MARKETPLACE.

PLANK: YEAH, BUT OUR INDUSTRY HAS GOTTEN AWAY WITH THAT FOR TOO LONG. SO WE TALKED ABOUT INNOVATION IN OUR INDUSTRY. THE TWO OLDEST ARE 46 AND 62 YEARS OLD RESPECTIVELY. BUT THE FACT IS, WE STILL MAKE A SHIRT AND A SHOE THE EXACT SAME WAY WE DID 100 YEARS AGO. A LOT OF WHAT WE'RE DRIVING, A NEW PROJECT WE HAVE CALLED THE LIGHTHOUSE IN BALTIMORE, WHERE WE'RE LOOKING TO ACTUALLY BUILD FOOTWEAR, HAVE SHOES COMING RUNNING OFF THE LINE. SO MACHINERY NEEDS TO PLAY A BIGGER ROLE IN THAT, INNOVATION NEEDS TO PLAY A BIGGER ROLE IN THAT, BUT WE CAN'T JUST KEEP CHASING THE LOWEST DOLLAR LABOR ALL OVER THE WORLD. AND SO I THINK YOU WILL START SEEING LOCAL FOR LOCAL. AND THAT MEANS THAT PEOPLE IN AMERICA WANT TO BUY PRODUCT FROM AMERICA. THE PEOPLE OF SAO PALO WANT TO BUY PRODUCT FROM BRAZIL. SO IT IS NOT JUST SIMPLY A MADE IN USA INITIATIVE, BUT FOR ANY BUSINESS, I THINK IT'S GOING TO BE IMPORTANT.

CARL QUINTANILLA: A LOT OF PEOPLE BELIEVE THAT GLOBALIZATION, FOR LACK OF A BETTER WORD, HAS SORT OF PEAKED. THAT SUPPLY CHAINS HAVE GOTTEN TOO STRETCHED AND THAT YOUR PRODUCTION SHOULD GO TO WHERE YOUR SALES ARE. DO YOU THINK THAT'S TRUE?

PLANK: I THINK OUR SUPPLY CHAIN CYCLE IS TERRIBLE. I MEAN, IT'S AN 18-MONTH PRODUCT CYCLE EFFECTIVELY. WHEN YOU GET GOOD AT 16, 15, 14 MONTHS, BUT YOU'RE NOT TALKING ABOUT REAL FAST FASHION READY TO GO TO RETAIL. SO I THINK IT'S A PLACE TO FOCUS IN INNOVATION FOR OUR INDUSTRY AND I CAN TELL YOU IT'S ONE FOR UNDER ARMOUR.

EISEN: SPEAKING OF INTERNATIONAL EXPANSION, APPEARS, ROB, THAT THIS ADMINISTRATION MIGHT BE LESS LIKELY TO OPEN UP DIPLOMATICALLY TO CUBA. WE GOT A LOT OF HEADLINES AND COMMENTS AFTER THE DEATH OF FIDEL CASTRO. I KNOW IT'S BEEN A BASEBALL HOT BED. WHAT TYPE OF PLANS HAD YOU BEEN MAKING FOR THE OPENING OF CUBA? AND WHAT HAPPENS TO THAT NOW?

MANFRED: WELL, OUR PRINCIPLE FOCUS HAS BEEN ON PLAYERS SO FAR. WE'D LIKE TO GET TO A SITUATION WHERE CUBAN PLAYERS CAN COME HERE, PLAY AND RETURN TO CUBA IF THAT'S WHAT THEY CHOOSE TO DO. YOU KNOW, THAT'S ASPIRATIONAL. WE'VE GOTTEN THROUGH THE LAST FIVE YEARS WITH CUBANS COMING TO THE UNITED STATES AND STAYING. SO ONE WAY OR ANOTHER, I THINK CUBA'S GOING TO REMAIN A SOURCE OF TALENT FOR US. FROM AN ECONOMIC PERSPECTIVE, YOU KNOW, WE WENT THERE LAST MARCH, WE PLAYED AN EXHIBITION GAME. WE DON'T SEE IT IN THE IMMEDIATE FUTURE AS A REAL ECONOMIC OPPORTUNITY FOR US AND OBVIOUSLY WHAT THE ADMINISTRATION'S POLICY IS WILL DICTATE WHAT OUR EFFORTS ARE GOING TO BE IN CUBA.

FABER: SPEAKING OF LONGER TERM ECONOMICS, FOR YOUR BUSINESS OVERALL, CERTAINLY TV REVENUES ARE AN IMPORTANT COMPONENT OF THAT. THE LONG TERM DEALS THAT YOU SIGN WITH THE NETWORKS. WE TALK A LOT ABOUT THE MOVE TO WHAT WE CALL OVER THE TOP. PEOPLE NOW STARTING TO WATCH TV ON THE INTERNET AND THESE BUNDLES OF PROGRAMMING THAT ARE QUICKLY EMERGING THAT SOMETIMES INCLUDE SPORTS NETWORKS AND SOMETIMES DON'T. HOW DO YOU VIEW THAT CHANGE IN TERMS OF THE ECONOMIC HEALTH OF YOUR SPORT GIVEN YOUR RELIANCE ON THAT REVENUE STREAM?

MANFRED: THERE'S NO DOUBT THAT WE'RE IN A CHANGING ENVIRONMENT, BUT WE HAVE TWO HUGE ADVANTAGES COMPARED TO A LOT OF SPORTS. NUMBER ONE, WE HAVE BEEN A LEADER IN THE OVER THE TOP MOVEMENT. BAM AND BAM TECH OBVIOUSLY LEADERS IN THAT SPACE. WE HAVE ALTERNATIVES AVAILABLE TO US BECAUSE OF THAT THAT ARE NOT AVAILABLE IN THE SAME WAY TO OTHER SPORTS. AND THEN MORE FUNDAMENTALLY, I THINK IT APPLIES TO ALL SPORTS. LOOK, THERE IS CONTENT THAT PEOPLE LIKE TO WATCH LIVE. SPORTS IS AT THE HEAD OF THAT LIST. SPORTS IS GOING TO CONTINUE TO HAVE HUGE VALUE AS THESE VARIOUS PLATFORMS CONTINUE TO EMERGE AND CHANGE.

EISEN: BUT YOU CAN'T GET THE CUBS BREAKING A CENTURY LONG STREAK EVERY SINGLE YEAR. SO HOW DO YOU KEEP UP THOSE RATINGS?

MANFRED: YEAH. WELL, LOOK, I THINK THAT YOU HAVE TO REMEMBER WE HAD A GREAT POST SEASON BECAUSE OF THE CUBS, BECAUSE OF THE WAY THE INDIANS PLAYED. BUT THROUGHOUT THE COURSE OF THE SUMMER, WE WERE THE NUMBER ONE RATED PROGRAMMING IN 16 OF OUR 30 LOCAL MARKETS. THERE'S TREMENDOUS STRENGTH IN THE FUNDAMENTALS OF OUR PRODUCT. AND WE REALLY DO BELIEVE OUR GAME'S GOING TO CONTINUE TO GROW EVEN IN THIS CHANGING LANDSCAPE.

QUINTANILLA: WHEN YOU'RE WATCHING A GAME FOUR OF THE WORLD SERIES, AND YOU SEE, YOU KNOW IT'S GOING TO GO TO FIVE OR SIX OR EVENTUALLY SEVEN, ARE YOU ROOTING FOR THAT EXTENSION?

MANFRED: LOOK, THERE'S A GENERAL RULE IN BASEBALL. YOU CAN'T ROOT FOR ONE TEAM OR THE OTHER. WHAT YOU CAN ROOT FOR IN THE POST SEASON IS LOTS OF GAMES, OKAY?

QUINTANILLA: THAT'S OKAY.

MANFRED: YEAH.

EISEN: SO, KEVIN, YOU'RE NOT GOING TO GET AWAY WITH NOT TALKING ABOUT YOUR STOCK PRICE, WHICH IS DOWN 26% SO FAR THIS YEAR. WHAT ARE YOU GOING TO DO TO FIX THAT? AND I KNOW WE'RE ALSO HERE TODAY BECAUSE YOU'VE RENAMED CLASS C AND ATTRACTED A LOT OF INTEREST IN THAT NON-VOTING CLASS SHARE.

PLANK: YEAH, OUR FORMER, WHAT WAS KNOWN AS CLASS-C, THAT IS OUR MAIN TRADING STOCK THAT WE'RE USING INSIDE THE COMPANY. SO JUST MAKING THAT THE DEFAULT TICKER SYMBOL WITH UA THAT WAS THE FIRST PART OF WHAT WE WANTED TO DO. AS FAR AS OUR COMPANY GOES, WE ARE FOCUSED ON THE LONG TERM. WE ALWAYS HAVE BEEN. WE ARE BUILDING. YOU KNOW, OUR MISSION IS TO BUILD THE BIGGEST, BADEST BRAND ON THE PLANET. AND THAT DOESN'T HAPPEN OVERNIGHT. SO BEING ABLE TO DECLARE THE SPACE OF THE NUMBER THREE – THE THIRD LARGEST BRAND IN THE WORLD THIS YEAR IS SOMETHING THAT GIVES US GREAT, GREAT CREDENCE AND GREAT BELIEF IN WHAT'S HAPPENING. BUT WHAT SEPARATES UNDER ARMOUR AT NUMBER THREE FROM NUMBER FOUR IS JUST A FEW TENS OR A HUNDRED MILLION DOLLARS. WHAT SEPARATES US AS NUMBER THREE FROM NUMBER TWO IS ABOUT A $15 BILLION RUNWAY. SO THERE'S SOME BIG FISH OUT THERE AND YOU KNOW, WE WANT TO GO GOBBLE THEM UP.

EISEN: SPEAKING OF —

FABER: DO YOU HAVE A FAVORITE SPORT, KEVIN?

PLANK: A FAVORITE SPORT?

FABER: YEAH.

EISEN: FOOTBALL.

PLANK: IT JUST BECAME BASEBALL. IF IT WASN'T BEFORE, BUT YEAH. HOW DO YOU THINK WE GOT THIS DEAL? NO, THIS IS GREAT. BUT I LOVE SPORT. I GOT INTO THIS – I PLAYED EVERYTHING GROWING UP FROM FOOTBALL AND BASEBALL AND SOCCER AND UP AND DOWN THE LINE. SO I THINK THAT'S IT. SPORTS TAUGHT ME SO MUCH. YOU KNOW, IT IS GREAT. THE CELEBRATION OF WHAT IT MEANS OF THE LESSONS LEARNED IN THE LOCKER ROOM, ON THE FIELD, FROM A COACH, FROM YOUR TEAMMATES, LEARNING HOW TO PLAY WITH A TEAM, THERE'S NOTHING BETTER. I'M SO PROUD OF OUR COMPANY. AND I THINK OUR INDUSTRY OF WHAT WE'RE ALLOWED TO PROMOTE AND CELEBRATE. WHETHER THAT'S WHAT WE DO HERE IN AMERICA OR WHAT WE'RE ABOUT TO TAKE TO CHINA AND OTHER PLACES AROUND THE WORLD. JUST SHOW THEM THE POWER OF SPORT. SO BASEBALL IS AT THE TIP OF THAT SPEAR, TOO.

EISEN: THANK YOU VERY MUCH. KEVIN PLANK, THE CEO OF UNDER ARMOUR. AND ROB MANFRED IS THE MLB COMMISSIONER. THANKS TO YOU BOTH.

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