One day after Alex Rodriguez met with the Steinbrenner family in Tampa, the superstar third baseman and the Yankees agreed yesterday on the parameters of a 10-year deal worth $275 million.
Standing in the way of an announcement is language concerning how Rodriguez would benefit financially from him breaking Barry Bonds’ all-time home run record as a Yankee. Rodriguez has 518 homers. Bonds, who was indicted for perjury yesterday, has 762.
Since milestone clauses aren’t allowed in MLB contracts, the Yankees and Rodriguez are attempting to reach a revenue-sharing type deal since the Yankees will make an ocean of sponsor money off the historic event. It’s believed that Rodriguez’s take could reach as high as $30 million and push the total value of the contract beyond the $300 million mark.
Once that hurdle is cleared, other minor language issues are resolved and Rodriguez passes a physical, the 32-year-old Rodriguez could be re-introduced by the Yankees Monday when he will win his second AL MVP award in three years after batting .313 with 54 homers and driving in 156 runs.
Not included in the contract is the opt-out clause agent Scott Boras got Rangers owner Tom Hicks to agree to and the clause Rodriguez exercised in the middle of Game 4 of the Red Sox-Rockies World Series. Rodriguez and Boras were ripped for upstaging MLB’s showcase event. Nor are there any bonuses for MVP or All-Star selection.
While Yankees officials went underground yesterday and Boras was silent outside of telling CNBC he is negotiating with the Yankees on Rodriguez’s behalf after many believed Rodriguez went behind Boras’ back, it’s believed the best offer Rodriguez had before surfacing in Tampa Wednesday to meet with the Steinbrenner family was for eight years and $225 million. It wasn’t known what team made that offer.
After next season, Rodriguez is a five-and-10 player and would have veto power over any trade. It’s not known if there is a no-trade clause in the contract for this coming season.
As for Mariano Rivera, there was speculation yesterday he wants a fourth-year added to the three-year, $45 million offer the Yankees made him this week. While there were no signs the Yankees were going to remove the offer, the Yankees aren’t likely to go any higher than the deal that makes Rivera the highest paid closer in the game by $4 million. According to a person with knowledge of Rivera’s plans, he will accept the three-year deal.
“It doesn’t take a rocket scientist to see it’s a good deal,” Hank Steinbrenner said after the offer was made.
Since Rodriguez was spotted at a charity event hosted by Johnny Damon Tuesday in Orlando and attended by Mitch Modell of Modell Sporting Goods, it was assumed Modell was the third party that got Rodriguez and the Yankees together in Tampa.
However, it was Goldman Sachs honchos, John Mallory and Gerry Cardinale, teaming to get word to Yankees club president Randy Levine.
Mallory, a member of Goldman Sachs’ board of directors, has a relationship with Rodriguez, who told Mallory he wanted to meet with the Steinbrenners. Mallory called Cardinale, a managing director of Goldman Sachs and a YES board member. Cardinale then informed Levine that Rodriguez felt a need to talk with the Steinbrenners.
Goldman Sachs is an outside investor in YES with an ownership stake in the network.
*
The Yankees were prepared to hold a conference call to announce Jorge Posada’s four-year, $52.4 million deal yesterday but the catcher didn’t finish his physical. That call could be held today.