hands11 wrote:Questions to the salary and contract geeks.
I'm sure this has been posted before but with the off season getting closer I was wondering if someone could help provide the information again.
So Trevor A has an option on his last year. What can happen that is good for the Wizards if they want to keep him around? Does that allow them to rework his deal and extend him kind of like they did Dray ? Not sure if they need to or not, just wondering if they can if needed. He is due 7.7M. Can they say rework the deal over 3 years for 6M a year = 3 yr/19M ? They may be better off just leaving his contact as it is and seeing if they can sign him cheaper later for say a 3 year deal at 4M a year. If they do this, that are only saving 3M over the first 3 years starting next year 8+4+4 = 16M. It might be better to lock him up so that going into 2014 you have him with 2 yrs remaining at 6M a year. That should be a tradable contract if needed. He will be 28. Though having him with 3yrs remaining at 4M/yr if clearly more attractive.
What are the options on Okafor. I read he has an ETO. Is that true ? What options do they have for reworking his deal ?
And for both, would that affect the Wizards trading right or player options to refuse trades ?
Thanks in advance.
Both players essentially have player options for their final year. (I think Okafor's is an ETO, but it makes no practical difference.) They therefore have the flexibility to agree to scrap their final season in exchange for a new contract. So what you are suggesting is indeed possible. The last years of their respective deals can be reworked into longer extensions.
I don't think it makes any sense to do so, though. If Ariza would agree to a 2-year extension at $4M and $4M, I'd rather just pay him 8/4/4 than have him rip up his existing contract and renegotiate a $5.3/$5.3/$5.3 deal. It's better to pay more up front (we have the luxtax room to do so) and pay them less in the future (when we will have cap room and be looking for more depth).
EDIT: I'll add that I'm opposed in general to the idea of locking up Okafor and Ariza into long term deals at this point. At their age, it's possible they could suffer a major injury next year. Why take on that risk? I'd only do so if we thought we'd get a discount, but my guess is that their value has increased with their recent play, making a discount highly unlikely. I think the best way to get a discount is to simply wait for them to regress to the mean a bit. Okafor in particular is unlikely to sustain this level of play throughout the entirety of next season.