Via Jack Curry –
Derek Jeter has officially agreed to a three-year contract with the Yankees for between $15 and $17 million a year, according to a person directly involved in the negotiations. The deal includes a fourth-year option that isn’t guaranteed. The deal was consummated on Saturday afternoon and is pending a physical.
The fourth year of the deal was important to Jeter, who said in spring training that he wanted to play four or five more seasons. But the Yankees didn’t want to guarantee a fourth year to Jeter, who had the worst season of his career when he batted .270 in 2010 and who will turn 37 years old in June. The sides vowed to be creative in trying to secure a deal, which is why they were finalizing a hybrid option that will include various elements and won’t be fully guaranteed. The sides met deep into the night on Friday and were talking again on Saturday.
As part of Jeter’s deal, the Yankees have convinced the shortstop to defer an undisclosed amount of money. Mariano Rivera, who has agreed to a 2-year, $30 million deal, has also agreed to defer an undisclosed amount.
And, via George King -
The Yankees and Derek Jeter will finalize a three-year deal today after hammering out the final details on a contract that will pay the captain between $15 million and $17 million a year, according to a person briefed on the situation.
The contract includes a tricky option for a fourth season, neither a vesting situation nor a club option. It is linked to what happens across the three guaranteed years.
The deal with the 36-year-old shortstop ends a month of negotiations that at times became strained, smothered the Yankees’ universe, and divided the fan base.
The Yankees increased their original offer to Jeter, three years and $45 million, on Thursday. That resulted in Casey Close, Jeter’s agent, talking to Yankees brass yesterday.
Following Tuesday night’s face-to-face meeting in Tampa, Jeter’s camp had the most distance to travel. The Yankees knew Jeter was looking for a four- or five-year deal for $23 million per, something the Yankees were not interested in doing.
Thursday night, after the Yankees’ new offer, Hank Steinbrenner said the onus for a deal was on Jeter.
“The ball’s in Derek’s court now, and his agent,” Steinbrenner said. “It’s up to them. We don’t know how happy they are. We’ll see. There’s no possible way anybody could criticize us for what we’ve offered.”
The Yankees also were finishing a two-year deal with Mariano Rivera in the area of $30 million.
Nice that they got it done so that Big Stein can have the Yankees spotlight all to himself on Monday, hopefully.
Update – the contract details from Mr. Curry:
Jeter and the Yankees agreed to a three-year, $51 million contract that could also include a fourth year. Jeter has a player option for $8 million in the fourth year, which could boost his guaranteed money to $56 million. In addition, Jeter has the chance to earn up to $9 million in incentives in the fourth year.
The deal averages to $17 million for the first three years, which includes a $3 million buyout in the fourth year. If Jeter doesn’t exercise the $8 million option in 2014, he will make $51 million. If Jeter exercises the $8 million option, he loses the $3 million buyout and is guaranteed $56 million over the life of the contract. But Jeter can increase his fourth-year salary by reaching some incentives. That is where the Yankees and Jeter got creative.
Jeter’s contract includes a point system in which he earns points for winning the Most Valuable Player Award or finishing in the top six in the voting, for winning the Silver Slugger Award, for being named MVP in the World Series or the League Championship Series, or for winning the Gold Glove. If and when Jeter notches any of those incentives, he will earn an undisclosed amount of points. After three years, those points will translate to a dollar amount, which will be added to Jeter’s salary in 2014. Jeter can earn as much as $9 million in incentives, so the maximum amount he could earn in the final year of the deal is $17 million. The most Jeter could earn in all four years is $65 million.
If Jeter doesn’t maximize the $9 million in incentives across the first three seasons, he also has the chance to earn points in the fourth year of the contract and therefore add to his $8 million salary.
What, no points taken away for every time over the first three years that Michael Kay says Past-A-Divin’ Jeter?