Tag Archives: contract

Breaking Down the NBA Offseason Moves Thus Far

We’re six days into the Free Agent period, and most of the big names have yet to choose their destination for the upcoming season. However, a few guys have made their choices, and here I’ll break down what it means for the teams/players involved….

Amare Stoudamire to the Knicks for 5 years, $100 million: Stoudemire is the biggest name so far to land with a new team. No doubt it shores up the middle for the Knicks, and gives them a new star player, but what will it mean on the court? If they fail to re-sign David Lee, then it’s a wash. Not that Amare isn’t an upgrade over Lee, but his addition alone won’t get the Knicks over the .500 mark, or relevant for that matter.

Joe Johnson Re-Signs with the Hawks for 6 years, $119 million: No one really expected JJ to jump ship, although I predicted he’d be lured away by the bright lights of NYC. But Johnson’s staying put keeps Atlanta’s nucleus intact for years to come. They still need to add some inside presence, but the Hawks won’t need to transition into all out rebuilding mode. With the Celtics getting nothing but older, Atlanta can now dedicate itself to competing for the Eastern Conference title for the duration of Johnson’s contract.

Continue reading


Luring Lebron

 

So I was thinking about this a little bit more and thought it makes a whole lot of sense.  Sure, there are about a half-dozen teams that will offer James the max salary, probably something close to 30M/yr for 6 years.  But is that enough to get Lebron?  I don’t think it is, because he can get a team to the Eastern Conference Finals 5 years in a row whether you have a supporting cast in place already or if you build one around him progressively.  He proved that in Cleveland, and he’ll do it anywhere in the East.  I think ownership will have to be included to really lure Lebron, and of course it will be another first in the NBA (if it’s legal in the NBA… is it?). 

Anyways, here’s my theory:  Let’s say the Bulls and Jerry Reinsdorf are desperate to get back to where they were in the 90’s with Jordan.  And let’s say that the Bulls are worth, oh, about $600M estimated (quick search found this value as of 2008).  And let’s say the value of ANY franchise, even the Bulls, will grow at least 50% over his 6 year contract.  That’s a net worth of $900M after 6 years.  And let’s say the Bulls gave Lebron a 10% stake in the team to lure him in, just enough to get his attention but not too much to where you as the owner still have total control.  With the proper valuation figures in place for the negotiation(not just my mba-quality guestimation), Lebron’s net worth can possibly grow an extra $60M in year 1 to $90M in year 6.  So, along with the contract value approaching $180-200M over 6 years, he would in fact be netting closer to $275-300M over that time frame, or an average net-worth of $45-50M a year on the higher end of my valuation theory.

Same should be said about the Knicks, whose value was actually a little bit more in 2008.  They would easily grow 50% over 6 years in their market after a string of playoff appearances, and you could argue they might actually grow way more than 50%.  Those higher end figures could be more on the lower end at that point.

Anyways, again I don’t think it’s legal for a player to own a team while he’s playing, but if it is, and you want the greatest player of his generation for his entire prime and possibly more, this is what I would do if I was an owner.


P-Willy Baby!

Photo courtesy of "SF Gate"

Being the resident 49er fan on staff, I must be the one to say … “It’s a celebration b**ches!”

If you haven’t heard, the 49ers just inked an extension with their best defensive pla … check that … best player in Patrick Willis!  I’m pleased on several levels here … for one, P-Willy deserved a new contract as he’s emerged as an elite player, one that opposing teams have to develop a game plan towards neutralizing every week.  Two, it’s good to see the 49ers organization reward a player for his hard work and dedication.  Since Willis arrived in SF, he’s led the team in tackles in each of his first three seasons, and has been selected to the Pro-Bowl every year.  He is one of the best defensive players in the NFL today, and now, he is paid like one.  To the tune of $50 million over five years with $29 million guaranteed.  Woot!

So all 49ers fans unite, and let us raise our glasses and toast!  Here’s to P-Willy heading a top-five defensive team in SF for the next five years … at the very least!


Lincy Wants More: E-Mail Thread

Tim Lincecum, the two time Cy Young Award winner, is going to be arbitration eligible for the first time in his career. He obviously deserves to get paid, and there really isn’t any reason for him NOT to demand boat loads of money. The Giants wanted to give him $8 million in his first year of arbitration eligibility, but Lincy’s camp wants around $13 million. We debated in an e-mail chain what the Giants should do. We had someone that isn’t a part of Doin Work crew, but is a huge fan Giants fan, and is under the name Lincy Lover.

Lincy Lover: They should give him $40 plus million, in essence buying out his arbitration, and move on.

Cali4Dre: I’m curious what the Linecum’s team countered with when they say over $40M…

Lincy Lover: It’s really a matter of what the 2 years after this one are worth, since he’s not getting a dime more than $13m this year, no matter how things shake out.

Cali4Dre: If Lincy wants 3yrs/40M, I think the G’s should offer $80M over 6 years and be done with it…  Maybe that would meet his expectations, and they could sign him long-term all at once (at a discount in the latter years)

Lincy Lover: That’s less money than Felix and Verlander got, so it’d have to be more like 6 yrs. for $90m, but I like where you’re going with his contract…

Cali4Dre: I realize it’s less money than the other contracts, but the G’s need to at least be diligent in their pursuit of the best deal possible, which it seems they are doing by going to arbitration, otherwise they would have already made a better offer…  and do we really think the Verlander/Felix contracts will have a huge say in the outcome of Lincy’s hearing?  Tough to say…

Dyslecix: Would this already be done if Zito wasn’t on the books ($90M plus over 6 years)? I’m going to say yes, the Felix and Verlander contracts have a huge impact on Lincy’s deal.

Cali4Dre: Ah, Barry Zito’s contract… The gift that keeps on giving (headaches that is) Well, based on ML experience, both have been in the league longer than Lincy, so it’s not a perfect match for the situation.  The thing that makes the difference is the CY’s (ie. multiple)

Lincy Lover: I’m guessing it would be more if Zito wasn’t in play, but yes, it becomes a no-brainer if Zito’s not in the mix. Zito’s deal is also a problem because his contract is heavily back-loaded, so as Timmy makes more, so does Barry. I don’t see it as huge for the hearing, but if those contracts (along with Zito) are a baseline for any long-term negotiations.

Dyslecix: I’ve been reading a lot more SI of late…and saw this last week… I think the main point is the market has been set by those two, and Lincy, with his two Cy Young Awards, has all of the leverage at the table. I see that being the biggest thing.

Cali4Dre: I think besides the two Cy Young Awards, maybe a major piece but not the only one, you would also have to look at years in ML (3 to 5-JV and 5-FH) and starting point of their first year.  For JV and FH, according to your article, it was only $7M in year one… He’s in arbitration year one with the Giants offering $8M and Timmy asking for $13M.

Lincy Lover: The reasoning to lock him up now is to hopefully save money down the road, when he could hit the open market and be too expensive to keep, but you’re right, they don’t really have to do anything for 3 years.

Dyslecix: If they wait, his value will only increase….He’s a super star, and will only get better. Lock him up now at whatever the cost.

Cali4Dre: Wouldn’t they just keep going back to arbitration though, with Timmy probably winning it every year?  Might as well have more certainty, and less ill will with your Star… What would it cost the Giants to just waive Zito?  I assume a lot, but not all of the money is guaranteed obviously…

Dyslecix: Interesting…I thought all of Zito’s contract was straight up guaranteed. I heard them going on and on about this a while back when he was shitting on the mound every 5 days, and were discussing waiving him. It’s been forever since I heard that though…

Lincy Lover: Right. Any long term deal is basically buying out his arbitration and pushing back his free agency, but it seems like the Giants are going to be very careful with any hearings and stick to numbers and precedent, so not sure how much ill will can build up. All money in baseball is gauranteed, and zito’s due about $83m over the next 4 years, and i think there’s even an option for another year that the giants would buy out for $7m. f-me.



Rondo is Gettin Paid

Rajon Rondo CelticsRajon Rondo has agreed to an extension with the Celtics reportedly worth $55 million over 5 years. I guess I kind of forgot how players should really go about getting a contract, and he showed that sometimes they don’t cause a lot of distractions. I really couldn’t figure out why Boston wasn’t sold on him. He’s pretty much done everything possible to win a franchise over, and the fans have appreciated him, but they seemed to be fairly sluggish in doing it. I still don’t see why it took so long, and if they were going to do it why wait till the last minute. I sounded like maybe they were scared of his lack of leadership or his label as a “loner”, but he’s only 23 so that can only improve with maturity. He also came into the season bulked up and ready to go. I haven’t seen him do anything on the court NOT worthy of making him the franchise point for years to come. Nor has anyone on the team shown any problems with how he’s gone about his business. They seem to have no problem throwing money at aging starts, so it’s got to feel comforting for Boston fans that they locked up what limited young guys they do have. Now that he’s getting paid he can start picking fights with guys like CP3 without being scared of how that fine will affect his salary!


Tiger the First Billionaire Athlete!

Double Tiger fist pump!

Double Tiger fist pump!

Well, this shouldn’t really come as a shock to anyone, but by Forbes calculations when Tiger won his $10.5 million bonus at the FedEx Cup last weekend he surpassed the $1 billion mark in career earnings. This marks the first time any athlete has reached a billion in overall earnings. Tiger started the year at $895 million, and Sunday’s payout coupled with all the event winnings, sponsors, and his golf course design company Forbes projected he has made over $100 million this season and is now past a billion dollars. He continues to be the highest paid athlete of all time on an annual basis, and it’s not out of reach for him to hit the $3 billion mark before it’s all said and done. He’s has exceeded every expectation by far over his 14 year career, and looks to have a lot left in the tank.

$100K a hole is like me betting $1 a hole

$1 million a hole eh? How many strokes are you giving me Tiger?

I always knew that he was rolling in dough, but until I saw this reported, I didn’t realize how much more he made than all other athletes!

Even Michael Jordan hasn’t achieved this feat, and for some reason I figured he had. I guess his deals in the 90’s weren’t quite as lucrative as Woods’s are now.  Jordan should reach that mark in the next four or five years with his current paychecks still rolling in mainly from Nike. I’m sure when Tiger finally calls it quits he’ll have plenty of crazy money games with MJ!


Nellie Doin Work for Free!

Don Nelson Anthony Randolph Warriors

After some hard work in the offseason, it looks like Randolph is out of Nellie's doghouse and into the starting lineup.

The seemingly senile 79 year old Warriors head coach, Don Nelson, made a statement yesterday, saying he wanted to work for free one year after his current contract expired. So he would be with the team for the 2011-2012 season. I personally like  the idea, considering we could do far worse at the coaching position, and how can you pass anything up that’s free! In his second tenure with the team he has show that he is the only good coach we’ve had over the past two decades as he’s led us to the playoffs in both tenures!  He said he wanted to give something back to the franchise, which surprises me because he’s made us more successful than we knew possible earlier this decade! Also, I’m very weary of a guy that sued his former boss (Mark Cuban) for not paying him while he slowly handed the reigns of the Mavericks over to Avery Johnson, and seemed to disappear at the end of his time there. I know Nellie likes to make a lot of outrageous statements, and this may not be any exception, but he must see some potential in this young core the Warriors currently have. This was his statement as he spoke to President Robert Rowell;

“I told him that I would like to give the Warriors one more year (beyond the contract) that will cost the team nothing,” Nelson said. “Whether it’s coaching or carrying bags, whatever, it doesn’t matter. I’ll give one more year to say ‘thanks,’ and ‘I appreciate the extension.’ ” For the whole article in the SF Chronicle.


The Duke Shutting it Down For the Season

Justin Duscherer

Our two time All-Star pitcher, Justin Duchscherer has been a question mark all season. It seemed like he was on the road to making his A’s debut about a month ago, but he kept delaying his starts. I along with many A’s fans found it weird as we wanted to see our “ace” back in action for at least the last month or so of the season. He did make a few rehab starts in Sacramento that MCeezy watched in person, and it appeared he pitched good. He has been on and off the DL for a good portion of his career, so everyone just figured he wasn’t ready after having season ending surgery towards the end of last season.

It was made public today in the SF Chronicle that he will shut it down for the season due to “a very treatable clinical depression.” I’ve been outspoken about letting these guys just pack it in due to “depression“. Duke’s case is no different. I can’t understand why he’d jump ship at this point, especially since his contract expires after this season is up. Maybe he didn’t feel right when he was pitching in Sacramento. Maybe he thinks he can get a contract based on what teams remember of his good days. Either way, I think he’s made his last pitch in Oakland, so thanks for the memories Duke!