UC Davis expects to generate about $25,000 a year from licensing its name and athletic trademark to Sudwerk Restaurant & Brewery of Davis for production of Aggie Lager. Sudwerk is brewing the beer, which is currently on tap at its own restaurant, Hallmark Inn, The Davis Graduate, 3rd and U Café, Woodstock’s Pizza and Original Steve’s. UC Davis and Sudwerk are looking to put the lager at other Davis establishments too.

The agreement will provide the equivalent of one full year’s scholarship for an in-state student-athlete at UC Davis — support that interim Director of Athletics Nona Richardson said is critical to recruit and retain top players as the Aggies develop their program in Division I of the National Collegiate Athletic Association.

In addition to raising funds for intercollegiate athletics, campus officials said the agreement will help to build awareness of the university in general and its world-class brewing programs.