Rangers have agreed a £48 million ($83.4 million) deal with a sports gear firm that will help slash the Scottish club's debt and fund new signings.

The Glasgow club said yesterday they had granted a 10-year licence agreement to JJB Sports with an initial payment of £18 million up front on June 7, the day they launch their new kit for 2006/07 season.

Branded sport and leisure wear will be sold in 439 JJB Sports stores within Britain.

A guaranteed royalty of three million pounds is payable every year while additional payments are agreed when a target figure of products are sold.

Club chairman David Murray said: "This innovative licence agreement will allow for the reduction of the club's debt and enable further investment to be made in the team and the club's facilities."

Rangers' debts stood at £23.1 million in June 2005, before an increase in profits from their participation in the Champions League which ended on Tuesday with their elimination in the first knockout round.

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