By . Mike Dawes . Advertisers are backing away from the Los Angeles Clippers after racist comments attributed to the NBA team's owner Donald Sterling. Mercedes-Benz USA said Monday its dealerships are ending their sponsorship of the Clippers in the wake of comments allegedly made by Sterling. Used car dealership chain CarMax, airline Virgin America, Sprint, Amtrak and Corona are doing the same. Three other sponsors, Kia Motors America, energy drink maker Red Bull and hardwood flooring retailer Lumber Liquidators, said they are suspending their advertising and sponsorship activities with the team. Insurer State Farm, said it 'will be taking a pause in our relationship with the organization.' Several other local businesses like the Yokohama Tire Corporation, Southern California Ford dealers association, LoanMart, AQUAhydrate and two casinos are ending their funding for the team. Scroll down for video . Controversial: Los Angeles Clippers owner Donald Sterling and Vanessa Stiviano, (left), are at the center of a huge storm over racist comments Sterling allegedly made that have caused half the LA Clippers sponsors to withdraw or suspend their backing . Beverages:CoronaRed Bull . Travel:Virgin AmericaAmtrak . Vehicles:KiaMercedez-BenzCarMax . Phone:Sprint . Local businesses:AQUAhydrateLumber LiquidatorsYokohama Tire CorporationCommer Hotel & CasinoSouther nCalifornia Ford dealers associationChumash Casino ResortLoanMart . Sterling has become so unpopular that . companies that weren't even officially sponsoring his team have issued . statements. A spokesman for Anheuser-Busch, the 'Official Beer of the . NBA' said his alleged comments were disappointing. A Miller Lite . spokesman told Buzzfeed that the company is 'kind of assessing everything right now,' but added that they 'aren't actually an 'official sponsor of the team.' The Clippers declined to comment. The incident highlights the risks that companies face when they make sponsorship deals. The deals can bring goodwill when things are going well, but brands face a tough spot when they link themselves with teams or athletes that become mired in controversy. Advertising experts say that once the bad news it out there, a negative association could have already been made in the eyes of consumers. Allen Adamson, managing director of research firm Landor Associates, said there's little benefit for brands to stick with their sponsorship deals in this instance. 'There's some benefit in moving quickly,' he said. 'You can always renew your sponsorship later, but the longer you're linking your brand to a brand in trouble, the higher the risk.' Paul Swangard, managing director at Warsaw Sports Marketing Center at the University of Oregon, said sponsorships like Carmax and Virgin America can be worth hundreds of thousands of dollars to millions, depending on terms of the agreement. He said many brands might be waiting to see what happens at the NBA's press conference on Tuesday. Tirade: The recording stemmed from a conversation between Sterling and his girlfriend V. Stiviano (right) after she posted this photo with Magic Johnson to her Instagram account . Interested: Johnson is interested in buying the team but Sterling cannot be . forced into a sale . 'The early indication is that this could be incredibly damaging to the franchise if things aren't dealt with quickly,' he said . This isn't the first time companies have had to consider whether to keep a sponsorship deal after a controversy erupts. Nike and other sponsors dropped disgraced cyclist Lance Armstrong after his doping scandal. But many sponsors stood by golfer Tiger Woods after he acknowledged infidelities and went to rehab for sex addiction. Sterling has come under fire for comments he is alleged to have made in a recorded conversation with a woman. Portions of that conversation were released over the weekend by TMZ and Deadspin, leading to a national outcry. The NBA is planning a news conference Tuesday on its investigation into Sterling. Protest: Los Angeles Clippers players held a silent protest over Sterling's comments . Dropped: A CarMax sign at the dealership in Oak Lawn, Illinois, CarMax on Monday - the firm has told the LA Clippers they will no longer sponsor them while Donald Sterling is owner . 'CarMax finds the statements attributed to the Clippers' owner completely unacceptable,' Richmond, Va.-based CarMax Inc. said Monday in an emailed statement. 'While we have been a proud Clippers sponsor for 9 years and support the team, fans and community, these statements necessitate that CarMax end its sponsorship.' Bloomington, Ill.-based State Farm also described the remarks as offensive and said it will monitor the situation as the facts are sorted out. It will continue to run its Born to Assist ad campaign, which began in December 2012 and features Clippers point guard Chris Paul as himself and a fictional, mustachioed insurance-selling twin, Cliff Paul. State Farm said that campaign is part of its overall sponsorship of the NBA. Kia's suspension of sponsorship and ads with the Clippers does not affect its deal with Clippers star Blake Griffin, who appears in commercials for the car company.
Significant sponsors of LA Clippers announced on Monday that they are to withdraw or suspend their backing of the team while Donald Sterling remains owner .
Of the NBA teams 10 major sponsors, five have pulled away from the troubled team .
Expected more will follow - potentially signaling the death-knell for Sterling's stewardship of the team .
By . Mike Dawes . Advertisers are backing away from the Los Angeles Clippers after racist comments attributed to the NBA team's owner Donald Sterling. Mercedes-Benz USA said Monday its dealerships are ending their sponsorship of the Clippers in the wake of comments allegedly made by Sterling. Used car dealership chain CarMax, airline Virgin America, Sprint, Amtrak and Corona are doing the same. Three other sponsors, Kia Motors America, energy drink maker Red Bull and hardwood flooring retailer Lumber Liquidators, said they are suspending their advertising and sponsorship activities with the team. Insurer State Farm, said it 'will be taking a pause in our relationship with the organization.' Several other local businesses like the Yokohama Tire Corporation, Southern California Ford dealers association, LoanMart, AQUAhydrate and two casinos are ending their funding for the team. Scroll down for video . Controversial: Los Angeles Clippers owner Donald Sterling and Vanessa Stiviano, (left), are at the center of a huge storm over racist comments Sterling allegedly made that have caused half the LA Clippers sponsors to withdraw or suspend their backing . Beverages:CoronaRed Bull . Travel:Virgin AmericaAmtrak . Vehicles:KiaMercedez-BenzCarMax . Phone:Sprint . Local businesses:AQUAhydrateLumber LiquidatorsYokohama Tire CorporationCommer Hotel & CasinoSouther nCalifornia Ford dealers associationChumash Casino ResortLoanMart . Sterling has become so unpopular that . companies that weren't even officially sponsoring his team have issued . statements. A spokesman for Anheuser-Busch, the 'Official Beer of the . NBA' said his alleged comments were disappointing. A Miller Lite . spokesman told Buzzfeed that the company is 'kind of assessing everything right now,' but added that they 'aren't actually an 'official sponsor of the team.' The Clippers declined to comment. The incident highlights the risks that companies face when they make sponsorship deals. The deals can bring goodwill when things are going well, but brands face a tough spot when they link themselves with teams or athletes that become mired in controversy. Advertising experts say that once the bad news it out there, a negative association could have already been made in the eyes of consumers. Allen Adamson, managing director of research firm Landor Associates, said there's little benefit for brands to stick with their sponsorship deals in this instance. 'There's some benefit in moving quickly,' he said. 'You can always renew your sponsorship later, but the longer you're linking your brand to a brand in trouble, the higher the risk.' Paul Swangard, managing director at Warsaw Sports Marketing Center at the University of Oregon, said sponsorships like Carmax and Virgin America can be worth hundreds of thousands of dollars to millions, depending on terms of the agreement. He said many brands might be waiting to see what happens at the NBA's press conference on Tuesday. Tirade: The recording stemmed from a conversation between Sterling and his girlfriend V. Stiviano (right) after she posted this photo with Magic Johnson to her Instagram account . Interested: Johnson is interested in buying the team but Sterling cannot be . forced into a sale . 'The early indication is that this could be incredibly damaging to the franchise if things aren't dealt with quickly,' he said . This isn't the first time companies have had to consider whether to keep a sponsorship deal after a controversy erupts. Nike and other sponsors dropped disgraced cyclist Lance Armstrong after his doping scandal. But many sponsors stood by golfer Tiger Woods after he acknowledged infidelities and went to rehab for sex addiction. Sterling has come under fire for comments he is alleged to have made in a recorded conversation with a woman. Portions of that conversation were released over the weekend by TMZ and Deadspin, leading to a national outcry. The NBA is planning a news conference Tuesday on its investigation into Sterling. Protest: Los Angeles Clippers players held a silent protest over Sterling's comments . Dropped: A CarMax sign at the dealership in Oak Lawn, Illinois, CarMax on Monday - the firm has told the LA Clippers they will no longer sponsor them while Donald Sterling is owner . 'CarMax finds the statements attributed to the Clippers' owner completely unacceptable,' Richmond, Va.-based CarMax Inc. said Monday in an emailed statement. 'While we have been a proud Clippers sponsor for 9 years and support the team, fans and community, these statements necessitate that CarMax end its sponsorship.' Bloomington, Ill.-based State Farm also described the remarks as offensive and said it will monitor the situation as the facts are sorted out. It will continue to run its Born to Assist ad campaign, which began in December 2012 and features Clippers point guard Chris Paul as himself and a fictional, mustachioed insurance-selling twin, Cliff Paul. State Farm said that campaign is part of its overall sponsorship of the NBA. Kia's suspension of sponsorship and ads with the Clippers does not affect its deal with Clippers star Blake Griffin, who appears in commercials for the car company.
comments attributed to the NBA team's owner Liquidators, said they are suspending their LA Clippers sponsors to withdraw or suspend their 'official sponsor of the team.' The Clippers will no longer sponsor them while Donald Sterling