What's Next for Johnny Damon?

Last night, the Yankees and Nick Johnson came to terms on a one year/$5.5 million dollar contract that all but ends Johnny Damon's tenure with the Yankees:

In a move that almost certainly would end Johnny Damon’s four-year run in the Bronx, the Yankees were close to completing negotiations on a one-year contract with Nick Johnson late Thursday.

A stalemate over salary between Johnny Damon, above, and the Yankees could be broken if Nick Johnson is signed as a designated hitter.

For Washington and Florida last season, Nick Johnson had a .426 on-base percentage, third in the majors behind Joe Mauer and Albert Pujols.

According to several people with knowledge of the talks, Johnson would serve as the Yankees’ designated hitter and possibly hit second in the batting order. That was Damon’s spot last season.

“It’s part of baseball,” Damon said in a text message. “Teams try to make moves in hopes to improve their club. I wish them all the best.”

The Yankees and Johnson were on the verge of an agreement worth around $5.5 million, pending a physical. Damon made $13 million and was said to want a three-year contract without a pay cut.

Given Damon's contractual demands, I don't think anyone can blame the Yankees for moving on and signing Nick Johnson. Damon put together a fantastic season for the Yankees in 2009 and was the ideal fit for Yankee Stadium, but there's not a chance in hell that he was going to wind up with a contract that sniffed anywhere close to 3 years/$39 million. If anything, Damon should have used Bobby Abreu's contract as a starting point in negotiations with the Yankees and simply tried to max out his earning potential on a two year deal.

With the Yankees out of the picture, the market for Damon is a whole bunch of question marks right now.

• The Mets and Mariners would seem to make sense for Damon, but are either one of those teams willing to go past two years for Damon? I doubt it.
  
• The Giants were thought to be a logical fit for Damon, but GM Brian Sabean has already taken them out of the running for Damon
• If the Cardinals fail to re-sign Matt Holliday, could Damon become an option? Maybe, but only at the right price.

After those four clubs, it's hard to see any other team having serious interest in signing Damon, which is an obvious problem for agent Scott Boras. I would expect the strategy out of the Damon camp to remain patient and wait until Jason Bay signs somewhere so that Boras can sell the teams that missed out on Bay on Damon. The problem with that logic is that the Jason Bay market stinks and that those two players should not be mentioned in the same breath when it comes to contracts.

Then again, Boras could sit back and hope that the Mets become so desperate for a splash that they cave into Damon's demands, but even that is highly unlikely.

As good of an agent as Scott Boras is, even he cannot create a market for player that does not exist. Sure it only takes one team to give Damon the contract he is looking for, but right now that team is not out there.

Alternatives for Benjie Molina?

The great Ken Rosenthal asked today "Do the Mets Have Alternatives for Benjie Molina?"

The Mets will not give free-agent catcher Bengie Molina a three-year contract. The question is whether reasonable alternatives even exist for both parties.

Few teams need catchers, and probably none is willing to give Molina, 35, a three-year deal. The Mets, meanwhile, probably cannot find a better catcher than Molina in either free agency or trade.

But to me the real question at hand is this: does Benjie Molina have any alternatives to the Mets? As Rosenthal notes, there is no team out there that's willing to give Molina a three year contract (Mets included), but despite this, Molina is holding out hope that the Mets will cave in and give him a three year deal out of desperation.

This is undoubtedly a risky ploy by Molina, who must think that he has the Mets right where he wants them, desperate and with limited catching options. However, if the Mets opt not to sign Molina, then the market for Benjie Molina all of a sudden becomes very murky. Are there any teams out there that would give Molina a two year contract besides the Mets?

• The Mariners might have interest, but given Molina's low OBP and declining defensive skills, I'm not sure if Molina is a fit here.
  
• Because of the injury to Jarrod Saltalamacchia, the Rangers might have interest, but I don't think they'd be willing to commit to Molina for two years.
• The Astros seem content to go into the season with Towles and Quintero behind the plate and with Jason Castro on the rise, a two year deal for Molina seems far fetched here.
• The Rockies were willing to give Yorvit Torrealba a two year deal, but the two sides seem far apart because of $400,000. Molina could be an option here as a platoon player, but probably only for one year because Chris Iannetta is signed for the next three.

Moral of the story: take the two year contract from the Mets, Benjie. Don't be greedy.

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Nick Johnson Can Do So Much Better

Could Nick Johnson be returning to the Bronx? Maybe:

The Yankees and Nick Johnson are talking about the sweet-swinging lefty and on-base machine replacing Hideki Matsui as the world champions’ designated hitter on a one-year deal.

If an agreement is reached, it would be an indication the Yankees will part ways with Johnny Damon, who they view at least as a part-time DH and don’t want him for more than two years and $20 million. The Post reported Tuesday that industry sources indicate Damon isn’t looking to take a pay cut from the $13 million he made last year. Agent Scott Boras is hunting for a three- or four-year deal.

“We have had dialogue, things are moving forward,” agent Rex Gary said of talks between the Yankees and their former first baseman. “Something could happen to speed things up, but it’s hard to predict.”

If Johnson is willing to take a one year deal to return to the Bronx, then by all means he should do it. But at the same time, he needs to understand that he could potentially be leaving both money and years on the table. Even though Johnson is injury prone, there are many teams looking at Johnson this winter because of his ability to get on base, hit for a high average, and relatively low cost.

Here is a list of teams that have shown interest in Johnson this winter besides the Yankees:

• Red Sox
• Giants
• Mariners
• Orioles

Given that each one of those teams has a hole at first base, I think it's likely that Johnson could land a multi year contract and a chance to play first base everyday instead of DHing for the Yankees. However, is it possible that Johnson is simply looking for a strong opportunity to show what he can do when healthy on a one year deal in the hopes that he can cash in on the free agent riches next year? If so, then maybe the Yankees situation becomes more appealing to Johnson and his agent.

However, given Johnson's injury history, I think his best bet would be to take as much guaranteed money now as he possibly can. The odds of Johnson playing 150+ games next season are quite low while the risk of him getting hurt and losing a chunk of change in the long run is much higher. Playing it safe now would mitigate the risk for Johnson and enable him to maximize his value on the market right now.

Hypothetically Speaking: The Josh Beckett Contract Extension

(Update 12/17): After the Red Sox went out and signed John Lackey to a 5 year/$82.5 million dollar contract, GM Theo Epstein texted this interesting nugget to Josh Beckett, who will be a free agent at the end of the season:

“I sent Josh a text message as we were finalizing John Lackey’s deal,” Epstein said. “I just told him, ‘Some might speculate this might mean the end for you in Boston.’ I said ‘Don’t listen to them. You’re a huge part of what we have going on here. We love it if it worked out if you’re a huge part of our future, as well. The most important thing is that we have one heck of a pitching staff right now.’ He texted back. He was very excited about the sign. He knows John a little bit. he thinks he’s a good man and a great pitcher and he’s ready to go for spring training. I don’t think it impacts Josh nearly to the degree people are speculating.”

With that statement in mind, I thought it was necessary to re-post this piece about a contract extension for Josh Beckett from November. I'd love to hear some opinions on this hypothetical contract extension. Should the Red Sox look to lock Beckett up right now? Post your thoughts in the comments section.

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With Josh Beckett set to become a free agent at the end of the 2010 season, it looks as though Beckett and the Red Sox are ready to start talking contract:

"Josh Beckett, who was in Boston to be honored for his commitment to Children’s Hospital, told WEEI.com that he and his agent, Michael Moye, are planning to meet with Red Sox general manager Theo Epstein in the coming weeks to discuss the . pitcher’s future with the team.

“We’re just letting things die down a little bit,” Beckett said. Beckett is entering the last year of his contract with the Red Sox after having his option for the 2010 season vest thanks to making 28 starts in ‘09

Prior to the 2009 season, which saw Beckett go 17-6 with a 3.86 ERA, the pitcher made his desire to broach his future with the Sox known following the campaign."

Obviously, the Red Sox would love to sign Beckett to a long term contract extension that would keep him in Boston for the foreseeable future. Beckett is one of the premier pitchers in the AL and is still only 29 years old, which means that there should be plenty of good years left in the tank.

So what will it take for Beckett to remain in Boston long term? Let's take a look at each side's goals moving forward if they want to get an extension done NOW:

The Red Sox

1. limit the years (the most the Sox should offer Beckett is 5 years with a preference for a 4 year deal.)

2. discount? if possible

The Josh Beckett Camp

1. Become one of the highest paid pitchers in baseball

2. financial security

3. Increase 2010 salary if possible

So how about this deal for Beckett and the Red Sox?

(5 years/$87 million)

Here is the contractual breakdown:

2010: $15 million
2011: $16 million
2012: $18 million
2013: $18 million
2014: $20 million

Why it works for the Red Sox:

1. sign Beckett manageable extension

2. sign Beckett for less than what he would have gotten on the free agent market (maybe?)

Why it works for Josh Beckett

1. Becomes one of the highest paid starting pitchers in baseball (contract in line with those signed by AJ Burnett and Carlos Zambrano)

2. Increases 2010 salary by $3 million

3. He can become a free agent again at 34, which introduces the possibility of yet another long term deal

4. Beckett stays in Boston, where he loves to play

Is this contract extension realistic? Should the Red Sox try to sign Beckett to a contract extension? Is he worth it?

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The Market for Orlando Hudson Stinks...Again

Could this offseason be deja vu for Orlando Hudson?

Last winter, the second baseman was coming off a stellar season offensively and defensively that was cut short by injuries. Nevertheless, Hudson was rated as a type A free agent was looking to cash in on his big year with a large multi year contract that was in the $25-$35 million dollar range.

However, the Dodgers offered Hudson arbitration, which severely depressed the market for his services because teams were not willing to give up a high draft pick to sign him. And over the couse of a few months, the baseball world watched as Orlando Hudson went from a multi year deal hopeful to a guy who was forced to take a one year deal with the Dodgers for less than $4 million dollars that included boatload of incentives.

Ouch.

Once the 2009 season ended, the free agent process started all over again for Hudson, but this time, things seemed to be looking up despite Hudson's rocky final six weeks with the Dodgers. Thanks to the Dodgers financial issues, Hudson was not offered arbitration by the Dodgers and was now free to sign with any club without the possibility of draft pick compensation hanging over his head. By not offering Hudson arbitration, the Dodgers seemed to be opening up the market for Hudson and it seemed to be only a matter of time before a team stepped up and offered Hudson a multi year contract.

But Hudson has yet to see any real action so far in free agency and there is reason to believe that the market for Hudson will not heat up. Take a look at the teams, who might be interested in signing Orlando Hudson:

• Mariners: Sure they have Jose Lopez at second, but if they move him to first or trade him, than Hudson might become an option here given his strong leadership ability and historically great defense.
• Twins: The Twins already have two potential second basemen for 2010 (Casilla and Punto), but if they have room in their budget, then adding Hudson would be a nice move for the Twins both offensively, defensively, and in the locker room.
• Giants: The Giants really should be going after power hitters, but if they opt to sign Hudson, then the Giants can shift Freddy Sanchez to third base.
• Mets: If the Mets can move Luis Castillo, then I'm sure they would sign Hudson in a heartbeat. However, moving Castillo seems to be nearly impossible at this point.
• The Rockies, Nationals, Phillies, and Red Sox were also linked to Hudson early in the offseason, but none of those clubs seem doubtful to make a strong run.
• The Dodgers are not likely to bring back Hudson at this point given their dire financial straits and because they signed Jamey Carroll to a two year deal.

If the financial terms are low enough, then maybe the Diamondbacks and Cubs get involved on the Hudson bidding, but right now, it does not look like either club will be involved.

Considering that Hudson was benched in favor of Ronnie Belliard down the stretch for the Dodgers last season and that his defensive ability seems to be on the decline, can anyone actually see a team giving Orlando Hudson anything more than a one year deal with a vesting option for 2011? Sure guys like Jamey Carroll and Ramon Santiago landed two year deals, but right now, there don't appear to be too many teams that are both actively looking for a starting second baseman and have loads of cash to spend.

In short, this could be another cold winter for Orlando Hudson.

Where do you think Orlando Hudson will land? What kind of contract will he get on the open market?

Mike Gonzalez and the Orioles' Future

When the free agent season began, one of the hot names on the market was Mike Gonzalez. The left hander was one of the top relief pitchers in baseball last season and was a hot commodity on the market because of his ability to strike out hitters and his dominate stuff. Gonzalez, who was a type A free agent, was not surprisingly offered arbitration by the Braves, who were hoping to acquire two high draft picks for losing Gonzalez.

Back in November, I pondered how Gonzalez's type A status would affect the number of teams interested in him on the free agent market. I concluded that even though Gonzalez was one of the hottest free agents out there, that his best chance to maximize his earning potential would be to sign with one of the worst teams in baseball statistically in 2009 so that they would not have to surrender a top draft pick for his services:

The best fit for Gonzalez in the free agent market might be to sign with a team that owns a first round pick somewhere in the range of 1-15. Because of the ridiculous Elias rankings system for free agent compensation, these teams only have to give up a second round pick for signing a Type A free agent.

Once Gonzalez is offered arbitration, that stable of teams will dwindle as teams ponder whether to actually give up a first round pick for Gonzalez. Even though there are lots of teams interested now, I think if Gonzalez wants to land the best deal possible and potential opportunity to close, then he should really consider signing with one of 2009's worst.

And last night, Gonzalez did exactly that when he came to terms with the Orioles on a 2 year/$12 million dollar contract:

Considered one of the top relievers on the free-agent market, Gonzalez, 31, went 5-4 with a 2.42 ERA, 17 holds and 10 saves in 80 appearances for the Braves last year, while primarily serving as a left-handed setup complement to Rafael Soriano. He struck out 90 batters in 74 1/3 innings, and opponents hit just .209 against him.

It's unclear whether the Orioles view Gonzalez as their full-time closer or whether he'll be part of a closer-by-committee approach that includes right-handed relievers Jim Johnson and Koji Uehara. Either way, Gonzalez will strengthen a bullpen that fell apart last year after All-Star closer George Sherrill was traded to the Los Angeles Dodgers in late July.

By bringing Gonzalez into the fold with a two year deal, one has to wonder how the Orioles envision this move effecting their future. Here's how: the Orioles have a stable of young and talented players, but the one area that has consistently killed them over the past few seasons has been the bullpen. There have been so many times where the Orioles bring leads into the late innings, only to see the bullpen blow it. After awhile, losses like that become very discouraging for a young ball club that is filled with great potential in the starting rotation.

That's where Gonzalez comes in.

The Orioles are hoping that with Gonzalez on board and Koji Uehara now thrown into the mix, that the back end of their bullpen will be stabilized and the Orioles will now be able to hold onto leads instead of blowing them like they have so many times in the past. Even though the Orioles are not expected to compete this season, it's still vital that the Orioles learn how to win baseball games because winning leads to confidence, which can only help the Orioles young players as they move forward.

Economically, this deal makes sense for the Orioles. The Orioles are not committing a large sum of money or years to Mike Gonzalez and best of all, the Orioles get to keep their top pick even though they signed a type A free agent, who was offered arbitration. Because the cost was lower for the Orioles to sign Gonzalez than it was for most teams, the Orioles gave up less to sign him. Morale of the story: sometimes there are advantages to playing badly. (Picks 1-15 protected)

As for Gonzalez, this deal represents a potential opportunity for him to close and prove to teams all around the league that he can be a lights out closer. By the time the deal expires, Gonzalez will be 33 years old and if he puts together two great seasons with the Orioles, there's no reason to think that Gonzalez won't be in line for a big money contract after the 2011 season.