"Michael Vick got to write his comeback story on the field. Now, he has seen his image come full circle off of it.

CNBC has learned that, in a remarkable move, Nike, which severed Vick's contract in 2007 after he admitted to his involvement in a dogfighting ring, has re-signed the Philadelphia Eagles quarterback.

"Michael acknowledges his past mistakes," said Nike spokesman Derek Kent. "We do not condone those actions, but we support the positive changes he has made to better himself off the field."

Vick's longtime agent Joel Segal told CNBC that "Michael is excited to have a long-term and strong relationship with Nike." The deal was done by Chicago-based attorney Andrew Stroth.

Nike [NKE 91.82 1.84 (+2.04%) ] had been giving Vick free products since his return to the field after serving 23 months in prison, but wasn't paying him. Financial consideration on his new contract was not disclosed.

The brand dropped him in August 2007, halting the release of his fifth signature shoe, the Air Zoom Vick V, and releasing a statement saying that cruelty to animals was "inhumane, abhorrent and unacceptable."

It is believed to be the first time in the history of sports marketing that a brand that dumped an athlete came back to re-sign him. Coca-Cola [KO 68.09 0.80 (+1.19%) ] let Kobe Bryant's contract expire in 2003, after he was charged with sexual assault; the criminal case was dropped, and the civil case was settled. Coca-Cola eventually hired Bryant back in 2008 to endorse its Vitaminwater brand."