
<PAGE>
 
                                                                   EXHIBIT 10(d)

                              PROMOTION AGREEMENT
                       ASHWORTH, INC., JAMES W. NANTZ III
                         AND NANTZ COMMUNICATIONS, INC.
                                        
     THIS AGREEMENT is entered into by and among ASHWORTH, INC. (The "Company"
or "Ashworth"), JAMES W. NANTZ III ("Nantz") and NANTZ COMMUNICATIONS, INC.
("Nantz Communications"), effective as of June 1, 1998.

     WHEREAS, the Company desires to retain Nantz Communications and Nantz to
provide certain promotional and other services and Nantz Communications and
Nantz are willing to provide such services on the terms and conditions set forth
herein; and

     WHEREAS, the parties hereto desire to set forth in writing their agreement
as to such promotion arrangement;

     NOW, THEREFORE, in consideration of the mutual covenants contained herein
and other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the parties hereto hereby agree as follows:


                                  DEFINITIONS

     As used herein, the terms set forth below shall be defined as follows:

     ENDORSEMENT shall include only the right to use the name, any nickname,
initials, autograph, facsimile signature, photograph, portrait, likeness, and/or
endorsement of Nantz.

     ASHWORTH APPAREL shall mean all ASHWORTH(R) brand sportswear apparel
contained in the Company's present and future collections (during the Term (as
defined below)).

     ASHWORTH PRODUCTS shall mean, collectively, Ashworth Apparel and Ashworth
hats and shoes.

     DISABILITY shall mean mental or physical illness or condition rendering
Nantz incapable of fulfilling the services to be provided by him under this
Agreement for a continuous period of at least 60 days.

     PREMIUM PROGRAM shall mean any traffic builder or other program involving
the use of a premium to sell products or services other than Ashworth products
and shall include any program primarily designed to attract the consumer to
purchase a product or service other than Ashworth Products themselves.

     CONTRACT YEAR shall mean a period of twelve (12) successive months
commencing on any first day of June during the Term.
<PAGE>
 
Ashworth/Nantz
Promotion Agreement
-------------------

                              TERM OF RELATIONSHIP
                                        
1.   GRANT AND ACCEPTANCE.  The Company hereby retains Nantz Communications and
     Nantz to provide the below described services (the "Services") and Nantz
     Communications and Nantz agree to provide the Services upon the terms and
     conditions herein set forth.

2.   TERM.  Except as otherwise provided herein, this Agreement shall commence
     effective June 1, 1998, and shall continue for a term of three (3) years
     expiring May 31, 2001 (the "Term").


                                    SERVICES

     Nantz Communications and Nantz shall furnish the following Services:

1.   ENDORSEMENT.  Subject to the terms and conditions hereof, Nantz
     Communications grants to the Company the Endorsement throughout the world
     during the Term in connection with the advertisement, promotion and sale by
     the Company of Ashworth Products except in connection with Premium
     Programs.

2.   ASHWORTH APPAREL AND PRODUCTS.  Subject to any restrictions, contractual or
     otherwise, on Nantz Communications or Nantz (collectively, the
     "Restrictions"), Nantz shall wear Ashworth Products, when possible and as
     reasonably appropriate, while broadcasting all professional sports
     tournaments and other professional sports outings, and during any
     professional sports clinics or instructions given by Nantz Communications
     or Nantz; provided that the Company has provided Nantz, at no charge, with
     sufficient amounts of Ashworth Products in styles and sizes Nantz finds
     suitable and appropriate for his use,  subject to the restriction under
     Paragraph 4 of Section COMPENSATION AND CONSULTING FEES.

3.   LOGOS.  Except as otherwise provided herein, and subject to the
     Restrictions, Nantz Communications agrees that such Products may
     prominently bear the Company's logo and shall not bear any other logos.

4.   PHOTOGRAPHY, SPEAKING AND STORE APPEARANCES.  Nantz agrees to be available
     for up to four photography sessions (2  in Southern California during the
     week and 2 to be at Nantz's site locations or tournaments), two speaking
     engagements, and three store appearances each Contract Year, at times and
     places mutually convenient for Nantz and the Company but in no event at
     times which adversely impact on the schedules of Nantz Communications or
     Nantz.  Nantz Communications shall have the right to review and reject in
     good faith the use of any advertising, promotion or other programs and
     materials which include Nantz or his image.  No use shall be made of any
     such programs or materials hereunder unless and until the same has been
     approved by Nantz 
<PAGE>
 
Ashworth/Nantz
Promotion Agreement
-------------------

     Communications. The Company agrees that each photography session shall not
     exceed one and one-half days and each speaking engagement and store
     appearance shall not exceed one-half day. The Company further understands
     that failure to utilize services of Nantz pursuant to this section shall
     not result in any reduction in payments to Nantz Communications hereunder,
     nor may the obligations to provide Services be carried forward from one
     Contract Year to another Contract year. The obligations of Nantz
     Communications and Nantz to provide the Services hereunder are subject to
     the condition that payments to Nantz Communications are current and up to
     date.

5.   NEW ACCOUNTS, CELEBRITIES.  Nantz agrees to assist Ashworth in locating
     potential new accounts based on his professional contacts, assist Ashworth
     in gaining access to celebrities and CBS executives which Ashworth could
     provide clothes for special events and also assist in gaining access to
     non-golf professionals who potentially would wear Ashworth clothes.

6.   SPECIAL EVENTS.  Nantz will assist Ashworth in creating, promoting and
     participating in an event (i.e., golf tournament, cocktail reception, etc.)
                                ----                                            
     to be associated with a major sporting event (i.e., PGA Championship,
                                                   ----                   
     Masters, etc.).

7.   EMPLOYEE STATUS.  Nantz will be a full time Ashworth employee rather than 
     an independent contractor.

8.   BOARD OF DIRECTORS.  Nantz agrees to be nominated, elected to and serve on
     the Board of Directors of Company in the capacity of voting director.

9.   OTHER OBLIGATIONS.  The Company acknowledges that Nantz Communications' and
     Nantz's obligations to CBS or any other television station or network with
     which Nantz Communications or Nantz has a contract or arrangement shall
     take precedence over any other commitments of Nantz Communications or Nantz
     under this Agreement.



                                INDEMNIFICATION

     Neither Nantz Communications nor Nantz shall be liable for any obligations
of the Company resulting directly or indirectly from the Endorsement of Ashworth
Products.  The Company shall protect, indemnify and hold harmless each of Nantz
Communications and Nantz against any and all expenses, damages, claims, suits,
actions, judgments and costs whatsoever, arising out of, or in any way connected
with such Endorsement, in any advertising or promotional materials furnished by
or on behalf of the Company, actions or omissions of the Company or any claim or
action for personal injury, death or other cause of action involving alleged
defects in Ashworth Products, including but not limited to indemnification of
reasonable legal expenses incurred in defense of all such claims.  Further,
Nantz Communications or Nantz shall have the 
<PAGE>
 
Ashworth/Nantz
Promotion Agreement
-------------------

right to select legal counsel to represent it or him in the event of any such
claims or legal proceedings, and the costs of such legal representation shall be
paid by the Company.


                                   INSURANCE

     The Company agrees to provide and maintain, at its own expense, advertising
and product liability insurance each with limits no less than $5,000,000 and
within thirty (30) days from the date hereof, the Company will submit to Nantz
Communications a fully paid policy or certificate of insurance naming Nantz
Communications and Nantz as insured parties, requiring that the insurer shall
not terminate or materially modify such without written notice to Nantz
Communications at least twenty (20) days in advance thereof.

     The Company further agrees to provide and maintain, at its own expense, a
policy of Directors and Officers Insurance with limits no less than
$25,000,000 and within thirty (30) days from the date hereof, the Company will
submit to Nantz Communications a fully paid policy or certificate of insurance
naming Nantz as an insured party, requiring that the insurer shall not terminate
or materially modify such without written notice to Nantz Communications at
least twenty (20) days in advance hereof.


                        COMPENSATION AND CONSULTING FEES

     As full compensation for Services, the Company shall pay Nantz
Communications the following fees:

10.  CONSULTING FEE.  The Company shall pay Nantz Communications an annual
     consulting fee of $30,000, such fee to be paid in equal quarterly
     installments of $7,500 on the 1st day of each June, September, December and
     March of each Contract year.

11.  ADDITIONAL FEES.  If Nantz agrees to participate in more than three store
     appearances in any given Contract Year, the Company shall pay Nantz
     Communications an additional fee of $7,500 for such additional appearance
     prior to or simultaneously with such appearances.

12.  REIMBURSEMENT OF EXPENSES.  The Company shall reimburse Nantz
     Communications for expenses reasonably incurred by Nantz or Nantz
     Communications in connection with the Services to the Company including,
     but not limited to, first-class air fare, hotel accommodations, local
     transportation and meals.  Nantz Communications shall furnish the Company
     with an itemized statement from time to time, together with, whenever
     possible, actual bills, receipts, and other evidence of expenditure.  Nantz
     Communications shall be reimbursed within thirty (30) days after receipt by
     the Company of such itemized statements and attachments.
<PAGE>
 
Ashworth/Nantz
Promotion Agreement
-------------------

     As full compensation for Services, the Company shall provide and issue to
Nantz the following:

13.  APPAREL.  The Company shall furnish Nantz, at no cost, with sufficient
     Ashworth Products to be used by him in connection with the Services and for
     the personal use of Nantz and his immediate family.  The cost of said
     Product shall not exceed $12,000 (at wholesale) during any single Contract
     Year.

14.  STOCK OPTIONS.  a) As consideration for the rights granted and the services
     to be rendered hereunder, the Company hereby grants to Nantz options (the
     "Options"), to purchase shares of the common stock of the Company par value
     $.001 per share (the "Share"), which are exercisable as follows:

15.  The first Option to purchase 40,000 Shares upon payment of the aggregate
     Option Share Price (as defined below) for the number of Shares so purchased
     shall become exercisable on June 1, 1999, unless this Agreement is
     terminated as provided herein prior to such date, in which case this Option
     shall be canceled.  Once exercisable, this Option may be exercised in full
     or in any number of partial exercises or in combination with the full or
     partial exercise of any other Option for a period terminating upon the
     earlier to occur of (A) the fifth anniversary of the initial exercisability
     date or (B) the date of termination of this Agreement, as provided herein,
     if this Agreement is terminated prior to May 30, 2001.

16.  The second Option to purchase up to an additional 40,000 shares upon
     payment of the aggregate Option Share Price for the number of Shares so
     purchased shall become exercisable on June 1, 2000, unless this Agreement
     is terminated as provided herein prior to such date, in which case this
     Option shall be canceled.  Once exercisable, this Option may be exercised
     in full or in any number of partial exercises or in combination with the
     full or partial exercise of any other Option for a period terminating upon
     the earlier to occur of (A) the fifth anniversary of the initial
     exercisability date or (B) the date of termination of this Agreement, as
     provided herein, if this Agreement is terminated prior to May 30, 2001;

17.  The third Option to purchase up to an additional 40,000 shares upon payment
     of the aggregate Option Share Price for the number of Shares so purchased
     shall become exercisable on June 1, 2001, unless this Agreement is
     terminated as provided herein prior to such date, in which case this Option
     shall be canceled.  Once exercisable, this Option may be exercised in full
     or in any number of partial exercises or in combination with the full or
     partial exercise of any other Option for a period terminating upon the
     earlier to occur of (A) the fifth anniversary of the initial exercisability
     date or (B) the date of termination of this Agreement, as provided herein,
     if this Agreement is terminated prior to May 30, 2001;

     The "Option Share Price" shall initially be $6 per Share as approved by the
Compensation Committee at its regular meeting held on December 15, 1998.
<PAGE>
 
Ashworth/Nantz
Promotion Agreement
-------------------

     b)  The Options being granted hereunder are being granted under and subject
to the terms and conditions of the Ashworth, Inc. Amended and Restated Incentive
Stock Option Plan, dated November 1, 1996, ("Amended Plan") and all Shares
issued upon the exercise of any Option shall be registered under the Securities
Act of 1933, as amended.


                                  EXCLUSIVITY

     During the Term, neither Nantz Communications nor Nantz shall enter into
any activity, employment, independent contract, or other business arrangement
which conflicts with Nantz Communications' or Nantz's obligations under this
Agreement or perform any service which reasonably appears to be an endorsement
of the sportswear apparel, hats and shoes of a third party without the Company's
prior written approval.  Nantz Communications and Nantz expressly agree that the
Endorsement will not be granted to anyone other than the Company for use during
the Term in connection with the advertisement and promotion of sportswear
apparel, hats and shoes.  Notwithstanding the foregoing Nantz shall be permitted
to wear a Lynx hat or clothing logo when performing promotional services for
Lynx and to use Lynx equipment when performing any promotional services for the
Company in which equipment will be used.


                                  TERMINATION

     This Agreement may be terminated by any party in the following
circumstances:

18.  Upon mutual consent of the Company, on the one hand, and Nantz
     Communications and Nantz, on the other hand;

19.  Nantz's Disability or death, in which event the Agreement shall terminate
     on the May 1 following such Disability or death;

20.  Repeated misconduct of Nantz which subjects Nantz to continued public
     ridicule causing a substantial loss of Nantz's positive public image;

21.  Nantz's conviction or plea of guilty or no contest to a felony involving
     moral turpitude;

22.  A finding of insolvency or bankruptcy against the other party (which, in
     the case of a desired termination by the Company, shall mean Nantz
     Communications or Nantz); and

23.  Failure to comply with the terms and conditions of this Agreement after
     being given notice thereof and, where applicable, a reasonable opportunity
     to cure the failure (which shall be 10 days in the event of a failure to
     timely make a payment pursuant hereto; 30 days otherwise).  In order to be
     a sufficient notice hereunder, any such written notice shall specify in
     detail each item of default, and shall specify in detail the action the
     defaulting party is required to take in order to cure each item.
<PAGE>
 
Ashworth/Nantz
Promotion Agreement
-------------------

Notwithstanding the foregoing, upon the occurrence of repeated intentional
failures to comply with the terms and conditions of this Agreement, which have
been noticed in accordance with the terms hereof (regardless of whether such
failures have been cured), the non-defaulting party may immediately terminate
this Agreement upon written notice to the defaulting party without affording a
further opportunity to cure.

Should Nantz Communications or Nantz disagree with the Company as to the
existence of a condition affording the Company the right to so terminate this
Agreement, Nantz Communications or Nantz shall, within thirty (30) days
following the receipt of any such notice of termination, submit the matter to
arbitration pursuant to the provisions of this Agreement.

The termination rights set forth in this section shall not constitute the
exclusive remedy of the non-defaulting party hereunder, however, and if a
default is made by either party hereunder, the other may resort to such other
remedies as said party would have been entitled to if this section had been
omitted from this Agreement.  Termination under the provisions of this section
shall be without prejudice to any rights or claims which the terminating party
may otherwise have against the defaulting party.

From and after the termination of the Term all of the rights of the Company to
the use of the Endorsement shall cease absolutely and the Company shall not
thereafter use or refer to the Endorsement in advertising or promotion in any
manner whatsoever.  The Company shall not advertise, promote, distribute or sell
any item whatsoever in connection with the use of any name, figure, design,
logo, trademark or trade name confusingly similar to or suggestive of the
Endorsement following the termination of the Term.


                                   ASSIGNMENT
                                        
     This Agreement shall bind and inure to the benefit of the parties hereto
and their respective successors and permitted assigns.  Nantz Communications and
Nantz acknowledge that the Services to be rendered by Nantz Communications and
Nantz are unique and personal.  Accordingly, except as otherwise expressly
provided below, neither Nantz Communications nor Nantz shall assign any of their
respective rights or delegate any of their respective duties or obligations
under this Agreement without the written consent of the Company.  Nothing herein
shall prevent Nantz Communications from assigning the monetary benefits of this
Agreement as it may so desire.  Further, inasmuch as it is recognized that Nantz
Communications is the representative of Nantz, Nantz Communications may at any
time assign this Agreement to Nantz and, in such event, Nantz Communications
shall have no further obligation or liability in connection herewith and Nantz
Communications' position vis-a'-vis the Company in connection herewith shall be
in all respects the same as if Nantz Communications had signed this Agreement as
agent rather than as a principal from the beginning.  The rights granted the
Company hereunder shall be used only by it and shall not, without the prior
written consent of Nantz Communications or Nantz, be transferred or assigned to
any other.  In the event of the merger or consolidation of the Company with any
other entity, Nantz Communications shall have the right to terminate the
Agreement by so notifying the Company in writing on or before sixty (60) days
<PAGE>
 
Ashworth/Nantz
Promotion Agreement
-------------------

after Nantz Communications has received notice of such merger or consolidation
if and only if, by virtue of such merger or consolidation Nantz Communications
or Nantz would be in default under or violating any provisions of any agreement
to which he or it is subject entered into prior to June 1, 1994.



                                  ARBITRATION
                                        
     Unless otherwise mutually agreed to in writing by the Company, Nantz
Communications and Nantz, any controversy or claim arising out of or related to
this Agreement, or the breach thereof, shall be settled by arbitration in
accordance with the Rules of the American Arbitration Association or any
successor.  Each of the Company, on the one hand, and Nantz Communications and
Nantz, on the other hand, shall select one arbitrator and the two so selected
shall select a third.  Failing the selection of an arbitrator by either party or
by the two so selected, the claim or controversy shall be settled by the
American Arbitration Association upon the application of either party.  Judgment
upon any award of a majority of the arbitrators filed in a court of competent
jurisdiction shall be binding.


                                 MISCELLANEOUS
                                        
24.  NOTICES.  Any and all notices required pursuant to this Agreement shall be
     deemed given if in writing and delivered in person, sent by certified or
     registered mail, return receipt requested, or set by telefax at or to the
     addresses and telefax numbers set forth below or such other addresses and
     telefax numbers as the parties may direct by notice given as herein
     provided:

                Ashworth, Inc.

                Attention: President and Chief Executive Officer
                2791 Loker Avenue West
                Carlsbad, California 92008
                Telephone:  (619) 438-6610
                Telefax:    (619) 438-9107
 
                James W. Nantz III
                Nantz Communications, Inc.
                c/o International Merchandising Corporation
                22 East 71st Street
                New York, New York 10021
                Attention:  Barry Frank
                Telephone:  (212) 774-8900
                Telefax:    (212) 772-2617
<PAGE>
 
Ashworth/Nantz
Promotion Agreement
-------------------

25.  GOVERNING LAW.  This Agreement and its formation, operation and performance
     shall be governed, construed, performed, and enforced in accordance with
     the laws of the State of California.

26.  JURISDICTION AND VENUE.  For the purposes of any dispute arising hereunder,
     jurisdiction and venue shall lie in the appropriate court in California.

27.  ATTORNEY FEES AND EXPENSES.  In any legal action or alternative dispute
     resolution instituted to interpret or enforce the terms and/or conditions
     of this Agreement, the prevailing party shall be entitled to recover
     reasonable attorney fees and expenses.

28.  WAIVER.  A waiver by either party of any provision of this Agreement shall
     not be deemed a waiver of any other portion of this Agreement.  Failure to
     require performance of any provision of this Agreement shall not be deemed
     a continuing waiver of that provision or any other provision of this
     Agreement.

29.  SEVERABILITY.  In the event that any provision or any portion of any
     provision of this Agreement shall be held invalid, illegal or
     unenforceable, the remainder of this Agreement shall remain valid,
     enforceable, the remainder of this Agreement shall remain valid,
     enforceable, and in effect.

30.  CAPTION REFERENCES.  All items headings and captions are for reference
     purposes only and do not in any way modify or limit the provisions set
     forth thereunder.

31.  ENTIRE AGREEMENT.  This Agreement contains the entire understandings and
     agreement of the parties and supersedes any prior understandings and/or
     agreement of the parties.  This Agreement may not be modified or amended
     without the written consent of all parties hereto.


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<PAGE>
 
Ashworth/Nantz
Promotion Agreement
-------------------

     IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the
date indicated below, effective the date first above mentioned.


                                THE COMPANY:

                                ASHWORTH, INC.
                                a Delaware corporation


Date:  December 16, 1998        By: /s/ RANDALL L. HERRAL, SR.
                                    ------------------------------
                                    Randall L. Herrel, Sr.
                                    President & Chief Executive Officer


                                NANTZ COMMUNICATIONS, INC.


Date:  December 16, 1998        By: /s/ JAMES W. NANTZ III
                                    --------------------------
                                    James W. Nantz III
                                    President


Date:  December 16, 1998            /s/ JAMES W. NANTZ III
                                    --------------------------
                                    James W. Nantz III
