Contractual Matters: N... (03/18)
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March 11, 2010 Contractual MattersAL East
Only the strong survive in the American League East. The division includes baseball’s two biggest revenue-generating machines and three other clubs whose revenues and payrolls reside tens of millions of dollars down the road. Continuing our 2010 payroll forecast (we’ve covered the NL Central, the AL Central, and the NL East), let’s examine the spending habits of the Yankees, Red Sox, Rays, Blue Jays, and Orioles.
New York Yankees When it comes to payroll, the Yankees play a game with which the rest of baseball is not familiar. Not constrained by luxury-tax thresholds or the limited revenues of an aging ballpark, the Steinbrenners and GM Brian Cashman exploit their financial advantage at seemingly every turn. The Yankees project to spend about $213 million on their Opening Day payroll, nearly $50 million more than their nearest competitor, the Red Sox. Though spending for 2010 remains in line with 2009 levels, Cashman did not allow the club’s 27th title stop him from making changes. When Atlanta made one-time Yankee Javy Vazquez and his $11.5-million salary available this winter, New York swooped in and worked out a trade for the right-hander, providing one more quality arm for the starting rotation. Cashman also allowed $13-million-a-year players Johnny Damon and Hideki Matsui to depart, replacing them with younger and less expensive alternatives Curtis Granderson, Randy Winn, and Nick Johnson. The Yankees have a long-standing policy against discussing contract extension with players during the season, making it all but certain that Cashman will face expensive calls on four more free agents next winter: shortstop Derek Jeter, closer Mariano Rivera, and starters Andy Pettitte and Vazquez. Those decisions are complicated by the fact that the Yankees’ books already include nine multi-year commitments extending as far out as 2017 at a total price tag of more than a half-billion dollars.
Alex Rodriguez, 3B
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Team Health Reports: San Diego Padres
Yet another reminder that Vernon Wells will be remembered far more for a contract than for any performance on the field - although with floating realignment, who knows how many teams will play in the AL East.