Someone is lying at Nike. The only question is who. The mystery surrounds how the shoe company approached the thuggish Chinese dictatorship over online rumors about an athlete it sponsors. No one disputes that Nike, which recently claimed its shoes have "become an icon of self-expression and a symbol of Democratic style," ran to the repressive regime in a snit. Someone claiming to be close to Nike had issued an anonymous Web post claiming the company forced Liu Xiang, pictured, to exit the games because he was unlikely to win. This echoed tampering allegations Nike also faced in Brazil. Does Nike want the poster hunted down and thrown in jail? Hunted down and unmasked, so he can be sued? Or simply handled by the Chinese government in whatever manner it feels appropriate? No one has any idea, because Nike keeps changing its story — and digging itself into a deeper hole.

1) At the New York premiere of spy thriller Traitor at the Regal Union Square last night, the film's stars Don Cheadle, Guy Pearce, Said Taghmaoui, and Mozhan Marno walked the red carpet along with director Jeffrey Nachmanoff, Busta Rhymes, Jesse Williams, Estelle, Aubrey O'Day, and Nicole Miller. [NYO/Wireimage]

Nike has recruited Don King—yes, that Don King—to promote next week's US Open. The "Grapple in the Apple" even gave sport's biggest stars new names: Roger "The Magician of Precision" Federer and Rafa "Matador of Spin" Nadal. [AdAge]

Running a free monthly magazine about outdoor sports in the New York area is probably not the most lucrative niche in the media, so it's perfectly understandable that a publisher would want to look for some creative ways to sell ad space. But selling the entire front cover for a product placement? That may be the point at which you cease to be an actual magazine. Although that didn't stop Metrosports NY from doing it:

That photo in this month's Portfolio of NBC chief Jeff Zucker dressed in an immaculate Nike outfit, without a single bead of sweat on his shiny bald dome as he crushed a serve? "The profile coincided with the Olympics. In the picture, he's dressed head to toe in Nike. And Nike happens to be spending a fortune on the Olympics. You do the math," says an NBC tipster. It's possible Zucker was also hoping to capture some of the sexiness of Roger Federer, the tennis star who wears similar Nike outfits and carries similar red tennis racquets. That won't be happening any time soon, of course. But Nike must be pleased with Zucker's dedication to the brand, no? "I suppose when an advertiser is spending that much money, it's only fair that the CEO of the network does everything in his power to promote it," says the tipster. Maybe Zucker should just be happy the company didn't insist that he wear a Rafael Nadal-style bandana.

THe L Word doesn't show any ads, because it's on Showtime. But now the show popular with lesbians and non-lesbians alike has done something that will either become the future standard of television, or destroy the show forever: it has given its writer and creator the power to "control all brand integration" in the show. That means the writer, rather than the ad people, will be selling the product placements and determining how they play out. And it may become the de facto place for bad companies looking to make sweet $300,000 advertising love with the gay audience:

"Re. Nike Ad!!! You are all scum and should be exterminated. You are what is wrong with the world and we would all be much happier with you all being stoned to death, slowly." The problem there is, you're still going to offend the anti-stoning crowd.

Perhaps you've heard the news that Nike has pulled its "That Ain't Right" balls-in-face ads after an outpouring of outrage sparked largely by this very website (though we weren't the first to address it). Are you proud of yourselves, commentariat? You are feared in all corners of corporate America. But the larger point here is that advertising is getting to be a very touchy business; companies are making fools of themselves nearly every week because of the crackheaded work of one of their ad agencies. After the jump, we look at five ads that had to be yanked recently, where they went wrong, and who came out ahead. Read and learn:

• Remember back when News Corp.'s Roger Ailes promised that Fox Business would crush CNBC? It turns out the upstart network is attracting 8,000 viewers during daytime hours, compared to CNBC's average of 250,000 or more. [NYO]

The PC joke police are steamrolling testosterone-based advertising! First Nike had to pull its "Air Stab" sneakers out of stores in the UK because people thought they were encouraging unrestrained knife crime. Not a week later, Nike found itself under assault by gays and their internet sympathizers over an ad showing a basketball guy hanging his nuts in another guys' face, with the slogan "That Ain't Right." And now the rising pro-homo chorus has forced Snickers to pull its ad in which Mr. T shoots a speed walker (and gay caricature) with a gatling gun while screaming, "Get some nuts!" Oh, some people get insulted by every little thing. Couldn't they just have digitally inserted a thought balloon on the guy saying "NO HOMO"? Watch the too hot for PC ad yourself, after the jump:

Poor Nike just cannot catch a break these days. First all the gays and their blog commenter followers got upset about Nike's new ads featuring a guy with his nuts in another guy's face, which some say are homophobic. (Nike's ad agency would like you all to STFU with your whining about that, BTW). And this controversy is distracting them from the process of pulling all their "Air Stab" shoes out of UK stores because the god damn Brits can't stop knifing each other! The insatiable British appetite for stabbing their fellow citizens caused bad PR levels to rise so high that Nike had to start pulling the shoes last week-even though they've been selling them for 20 years.

Nike's new ad campaign for its Hyperdunk shoes features a series of pictures of basketball players getting dunked on in what's considered the worst way possible: the dunker dangling off the rim, his balls dangling in the face of the man being dunk-ee. They all have dynamic slogans like "That Ain't Right!" The company has been plastering them around NYC's most famous streetball meccas, like Harlem (home to The Rucker) and West 4th St. Their rollout coincides with a big foofaraw this week (which some critics say is stupid oversensitivity) over whether the ad industry is making blatantly homophobic ads. All of which raises the question: Are these Nike ads a new low in homophobic advertising? Or do the gays just not understand basketball?

You know what the best part about dating Kate Hudson is? Not the fun beachside lunches with a jolly Goldie Hawn and doting “unidentified males.” Not the late-night games of Pin The Tail On The Boob with 9-year old Ryder. Nor is it collecting your winnings from that bet you made with Owen Wilson about who could land the ebuillient blonde. No, the most enjoyable benefit to following Hudson around town and forcing grin after grin is the dynamite opportunity to finally get photographed dutifully wearing clothes coincidentally fashioned by your lifestyle-sustaining sponsor!

Sharon Stone has finally apologized for her "inappropriate" comment that the recent massive Chinese earthquake was a product of "bad karma" for the country for its treatment on Tibet. She's sorry, okay! Nevertheless, fashion house Christian Dior announced that it's pulling all of its ads featuring the actress from all department stores, and the entire country of China. Though the comment itself was stupid, Stone's hasty retreat from her brash Tibet-championing—and Dior's even harsher public rebuke of her—are a great illustration of what is becoming the New China Rule: "Do Not Talk About The New China Rule." It's been de rigeur for top stars to prove their class by endorsing luxury brands, and to prove their morality by pontificating about Tibet. But guess what: pretty soon you're going to have to pick one or the other, Hollywood. And it's not looking good for the Dalai Lama.

Do you know what defines what it means to "be true?" That's right, Nike Dunks! Not only that, but that particular shoe "HAS BECOME AN ICON OF self-expression and a symbol of DEMOCRATIC STYLE." The Revolution is Basketball! Freedom is slavery! It's a Brave New World! Nike Dunks were introduced in 1985—if it had been 1984, people might be inclined to make jokes about its dystopian advertising rhetoric. Below, a full look at the amazingly dramatic prose on a flier promoting what is just a Nike-sponsored photography show, "in the spirit of the shoe that inspires those who dare to be different." [Hypebeast]. I'd hate to see them if they really get worked up.

Dustin Hoffman may actually be America's oldest teenager (or at least America's oldest twentysomething) just on the verge of really making something happen.

Rod Townsend records the gays in and around their natural environment of Fire Island and reports back. This is the time, and this is the record of the time. Put your hands over your eyes.

Eavesdropping on the gays is the surest way to find out what products and people are hot and what are not. Rod Townsend records the gays in and around their natural environment of Fire Island and reports back. All dialogue 100% verbatim.

• Nike uses the Don Imus controversy for an ad campaign it hopes "will spark continued conversation about race in America." And sell sneakers. [AdAge]
  

While it's been rumored for some time, a deal between Nike and Jennifer Aniston appears to be on the verge of signature. The deal, sources say, may be the largest sum ever paid by the sportswear company for a celebrity endorsement.