Just for the record, I posted this in a thread at LoHud earlier today, before the Halladay report broke:

Realizing I’m going to be abused for saying this, the obvious move is a trade centered around Montero for Halladay.

I know Ricciardi wants a ready Major-League level pitcher for Halladay. With Wang’s injury, the Yanks don’t have one they can afford to part with. They need both Joba and Hughes. The Yanks DO have organizational depth at catcher. Jorge for the next year or two, Cervelii as a backup by next season, Romine a season or two later, and a couple of other good ones low down, including the kid they just signed, Sanchez.

The Jays have a lot of young pitching, some of it injured, but which will be returning at some point. What they don’t have are impact bats. What they don’t have are impact bats in their system. Their good young hitters are Hill, Lind, and when he breaks through, Snider. They can use Montero. It would be better for them if he stays at catcher, but even if he doesn’t, they need to replace Overbay shortly, and they still have Arenciba. If all else fails, he becomes their DH. The Yanks have to take on Rios’ contract, and throw in Swisher, or more likely, Melky.

Trading Montero will hurt the Yankees and the pain level may well be quite high for many years to come (ridiculous to put it this way this far ahead of the event, but Montero could be a Hall of Fame level bat).

I’m thinking Montero, Melky, McAllister, and possibly another high-ceiling pitching prospect for Halladay and Rios, with Rios splitting time between center and right. Jackson comes up next year and takes over left.

You can fit the pieces together for an outfield of Damon, Rios, Gardner, Swisher and Hinske for this season. Hinske can also play a few games at 3rd, leaving Ransom to backup Jeter and Cano for the most part. Matsui leaves next year. Damon is re-signed for a short term deal to play some leftfield and some DH. Jackson comes up next year, replacing Matsui on the roster, and works his way into the lineup over the next year or two.

You may think this is too much for Halladay, and the Yanks may not be able to fit it into their budget, but this is the best solution I can come up with.

Guess the Yanks really do have a payroll limit, after all.

The Halladay talk may well be moot.

Abraham is reporting:

UPDATE, 4:30 p.m.: Many reports that Roy Halladay is headed to Philadelphia. Deal sounds close.

Let’s not forget Jesus Montero is still only 19 years old. His defense might be a liability but his bat is still impressive.

@ Corey:
How can Jesus Montero be an untouchable when he can’t competently play his primary defensive position? Unless the intention is to make him a full-time DH, he’s about the best trade chip we’ve got.

I want Halladay as much as anyone…that being said, i wouldn’t give up Montero(only untouchables for the Jays to me are the J’s, Joba and Jesus).

If they want to bring in Lee, and send out Kazmir, that’s OK with me.

Yanks have had trouble with both lately.
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If it’s Halladay, Yanks have to jump in with a deal centered on Montero.

if their plan is to go and get him, you might as well get him before he gets you.