A-Rod has picked three teams

[RShack]

Simple economics dictate that ARod will remain a Yankee. For the next three years, ARod makes $24 mm/year, with the Rangers paying more than $21 mm of the $72 mm he will make. There is only one team who can have that subsidy: the Yankees.

If the Yankees trade him with his current contract, doesn't the subsidy tag along? (Not saying that they would, but still...)

There's $21 million of Ranger money involved. That's pocket change to nobody. Even if ARod decides he's going somewhere else (Team-X), wouldn't it make sense for the MFY's and Team-X to look at some kind of trade-extension deal that benefits both of them at the expense of the Rangers? (Business is business...)

[Frobby]

If the Yankees trade him with his current contract, doesn't the subsidy tag along? (Not saying that they would, but still...)

There's $21 million of Ranger money involved. That's pocket change to nobody. Even if ARod decides he's going somewhere else (Team-X), wouldn't it make sense for the MFY's and Team-X to look at some kind of trade-extension deal that benefits both of them at the expense of the Rangers? (Business is business...)

Good point.

[geschinger]

If the Yankees trade him with his current contract, doesn't the subsidy tag along? (Not saying that they would, but still...)

There's $21 million of Ranger money involved. That's pocket change to nobody. Even if ARod decides he's going somewhere else (Team-X), wouldn't it make sense for the MFY's and Team-X to look at some kind of trade-extension deal that benefits both of them at the expense of the Rangers? (Business is business...)

Yep, it's a win/win/win scenario. The question is, does the timing work. He has to make a decision on opting out 10 days after the WS ends which doesn't leave a whole lot of time to work something out.

[JTrea81]

Yep, it's a win/win/win scenario. The question is, does the timing work. He has to make a decision on opting out 10 days after the WS ends which doesn't leave a whole lot of time to work something out.

But why would a team trade anything for A-Rod when he could opt out on his deal? The Yankees would have to pick up so much of his new contract that it wouldn't be worth trading him. Also considering it's past the waiver trade deadline, A-Rod would have to be passed through irrevocable waivers to be traded. I don't think the trades can be done without passing the player through waivers until the 40 man is frozen for the Rule V.

[Mark Carver]

But why would a team trade anything for A-Rod when he could opt out on his deal? The Yankees would have to pick up so much of his new contract that it wouldn't be worth trading him. Also considering it's past the waiver trade deadline, A-Rod would have to be passed through irrevocable waivers to be traded. I don't think the trades can be done without passing the player through waivers until the 40 man is frozen for the Rule V.

And, a big AND... Rodriguez would have to approve the trade since he has a NTC in his contract.

[RShack]

Yep, it's a win/win/win scenario. The question is, does the timing work. He has to make a decision on opting out 10 days after the WS ends which doesn't leave a whole lot of time to work something out.

Yeah, everybody wins (except the Rangers). I have no idea whether something like that could get done within the constraints. But when there's $21 million sitting there, absolutely free, to be divided either 2 ways (or 3 ways if ARod gets a share of it), then that could motivate people to get on the phone and start finding ways to overcome the various problems.

[RShack]

And, a big AND... Rodriguez would have to approve the trade since he has a NTC in his contract.

Well, yeah, he's gotta be in on it... so you don't even think about sending him someplace he doesn't wanna go... and you cut him in on a share of the free $21 million.

In effect, you divvy up the free $21 million 3 ways, not 2.

Boras prolly has most of it worked out already ;-)

[davearm]

The only thing that matters right now is whether ARod wants to remain a Yankee or not.

If he does, then the money will surely be there from the Yankees on an extension. I'd expect a full court press by the Yanks to keep him.

If he doesn't, then the opt-out is exercised, or perhaps a trade is orchestrated to the team of his choosing that is willing to offer an extension to his liking.

Money's not really the primary issue anymore, because it's going to be outrageous in any event.

[RShack]

The only thing that matters right now is whether ARod wants to remain a Yankee or not.

If he does, then the money will surely be there from the Yankees on an extension. I'd expect a full court press by the Yanks to keep him.

If he doesn't, then the opt-out is exercised, or perhaps a trade is orchestrated to the team of his choosing that is willing to offer an extension to his liking.

Money's not really the primary issue anymore, because it's going to be outrageous in any event.

Oh, I agree with all that. I think we're just pondering the very secondary issue of whether or not the stupid Rangers are really gonna get off the hook if ARod opts-out vs. whether people are gonna see a completely free $21 million just sitting there for the taking, and figure out some way to snag it, that's all...

[wildcard]

ARod is not stupid. He knows that two teams (Yankees and Rangers) paying his salary can outspend one team.

He will not opt out because it is in the Yankees best interest to make a deal with him before he opts out.

And it is in his best interest to stay on the biggest stage in baseball and rake in the salary and endorsements that are higher in NY then any other place in the country.

[geschinger]

But why would a team trade anything for A-Rod when he could opt out on his deal?

A $21m subsidy from the Texas Rangers is worth a propsect or two which is what a team gets by trading for ARod.

[Darthy Katt]

How about the Hiroshima Carp? I'm sure Japan would give A-Rod a warm welcome!

[Sports Guy]

Many of you seem to think that 28+ million will not be on the table for him.

If that is there and he wants out of NY, there is no reason for him to stay in NY.

You can talk all you want about Texas and whatnot but that is all meaningless if some team is willing to give him a 6-8 year deal for 28-35 million dollars per year, then it doesn't matter and i bet some team will.

[NJOriolesFan]

There is one other scenario that could play out.

ARod does not opt out this year. However, he can still opt out after the 2008 season. I'm not sure what that will buy him but he does have the option of staying put in New York for one more year and then bolting. He may figure the Yankees will still give him a great chance at winning in 2008 and he can still make his money in 2009.

[Mark Carver]

Not true, his contract become void if he ops out and Texas is off the hook for $21 mil total over the next 3 years.

Mind you I said...

Originally Posted by Mark Carver

If he signs an extension before he opts out, all he is doing is signing a new contract that goes in effect after his old one expires after 2010.

So what was wrong with what I said? If he signs an extension with the Yankees before he opts out, it just goes into effect after 2010, and the Rangers will still be on the hook for remaining $21m. He will be under 2 contracts, his current one and new one that goes in effect for 2011.