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Bad economy hurting even the Yankees
Dunn's sitting prettyOf all the free agents who were not offered salary arbitration, perhaps none will benefit as much as Adam Dunn. A team can now sign Dunn without forfeiting a high draft pick, making him that much more attractive on the open market. A rebuilding club such as the Nationals surely would relish the idea of signing a 29-year-old slugger and keeping their pick. Even a high-revenue club such as the Yankees might be more inclined to sign Dunn, knowing they will lose picks for other free agents. Dunn is the only major leaguer to hit 40 or more home runs in each of the past five seasons. Yet, in a struggling economy, the Diamondbacks were not convinced that he would receive a suitable multiyear offer from another club. The D-backs, according to a major-league source, made one last run at Dunn, proposing a two-year deal shortly before the arbitration deadline at midnight ET Monday. When Dunn did not bite, the D-backs declined to offer him arbitration, fearing he might collect a salary in the $15 million range at a time when the team is facing significant budgetary concerns. While the D-Backs offered arbitration to three other free agents — second baseman Orlando Hudson and relievers Juan Cruz and Brandon Lyon — they recently cut 31 front-office employees and parted with left-hander Randy Johnson over financial differences. The market for Hudson is strong, so offering him arbitration entailed minimal risk. Both Cruz and Lyon will be affordable even if they accept arbitration, and rival teams might pursue them in trades. Dunn might have been more difficult to move at a salary of $15 million, and the Diamondbacks determined that keeping him involved more risk than reward. Bad for the D-backs, who will not get the two draft picks they anticipated when they traded three players for Dunn last August. Good for Dunn. — Ken Rosenthal |
Prior to the economic meltdown, teams actually considered such deals good business, rarely hesitating to overpay players if the commitment was only for one year. Well, the days of such largesse are over — at least in certain cases, at least for the moment.
The Yankees' refusal to offer Abreu arbitration resonates on several levels, vividly demonstrating the impact of the economic crisis on even the most powerful franchise in a sport that produced $6.5 billion in revenues last season.
The messages are clear:
Abreu is no slouch, mind you — he batted .296 with 20 homers and 100 RBIs last season. But he turns 35 on March 11, and the Yankees feared that his best offer might be something like two years, $16 million.
Under such circumstances, Abreu would have jumped at the chance for a one-year windfall through arbitration, particularly when he already was comfortable in New York. And that possibility became a problem because . . .
The Yankees still expect to field the game's highest payroll next season, but the number almost certainly will be below their $209 million figure at the start of '08.
The return of Abreu for $16 million and signing of free-agent left-hander CC Sabathia for $20 million per season would have left the Yankees with little remaining payroll flexibility, according to one source with knowledge of the club's thinking.
Starting pitching remains the Yankees' priority. Abreu and left-hander Andy Pettitte, who also was not offered arbitration, still could return at lesser salaries. But the team is unlikely to sign Sabathia and first baseman Mark Teixeira, or even Sabathia and outfielder Manny Ramirez. Their financial muscle is reduced because . . .
The Yankees are paying an estimated $1.3 billion for the construction of the new park, with New York City covering the costs of the infrastructure. Keep in mind, though, that the Yankees' outlay will reduce their revenue-sharing obligations, and that the team will not pay rent.
Obviously the Yankees considered the park a wise investment; otherwise, they would not have made the deal. But now, with so many of their corporate customers struggling, the team probably will not reach its initial revenue projections.
The Yankees and Mets are opening new parks this season. The NFL Jets and Giants are opening a new football stadium at the Meadowlands in 2010. Think about it — four New York teams battling for corporate dollars at precisely the wrong time.
Granted, the Yankees will not exactly suffer if Abreu departs. If the season opened tomorrow, they could go with Johnny Damon in left, Melky Cabrera/Brett Gardner in center and Xavier Nady in right, with Nick Swisher at first base and Hideki Matsui at DH. Not great, but not terrible. And the Yankees still could trade for a center fielder such as the Brewers' Mike Cameron -- or even pursue Ramirez if they failed to get the pitchers they wanted.
The loss of the two high draft picks the Yankees would have received for Abreu is not insignificant, particularly with the team set to forfeit picks for Sabathia and either A.J. Burnett or Derek Lowe. But club officials, setting limits that did not exist when the economy was sound, determined that they could not pay Abreu $16 million and still get the pitching they wanted.
Yes, even the filthy-rich Yankees are cutting back.
By their definition, anyway.
Member Comments
rosenthal knows nothing about nothing....525,000 Americans got laid off last week...how come MSN missed giving a pink slip to Kenny?
johnwensink12/5/2008 10:33:00 AM(Report inappropriate content)
yo LONABISHOP,are you looking at the players your naming????omg dude,go look at there numbers.your making theo look bad.lol and its not pauley zink its charlie zink go take a look.
deano39412/4/2008 19:32:00 PM(Report inappropriate content)
oh yeah theo was the only one that wanted dice-k.good thing for the chinese auction and the 103 million
deano39412/4/2008 19:23:00 PM(Report inappropriate content)
Epstein is no match for Cashman..maybe you forgot that after bob watson quit as gm for the yankees the 30 yr old cashman took over,and one of the first moves was to ship roberto kelly to the reds...for?????..yes paul oneil...oh yeah then tino came after that...then cone and the catcher you know the one? the manager...should i keep going...so dont talk about epstein being some big brain trust for the redsox...because with Pedroia they got lucky if you remember he was batting 150 and was gunna send him down but had nothing in the farm so he stayed up....so go look up cashmans resume first before you start calling theo a better gm them cashman.....go yankees
deano39412/4/2008 15:08:00 PM(Report inappropriate content)
No matter which way you slice it, the Yankees are in trouble. The economy tanking certainly doesn't help things since the Yankees strength has always been the dollar. Yanks have many holes to fill. They absolutely need an ace to anchor the rotation. The only free agent ace available is Sabathia, and it looks like he wants to play elsewhere. Peavy is better than CC, I think. Yanls should have traded for Santana. Would have solved a lot of problems. <br /><br />Cashman no match for Epstein. Red Sox loaded at all levels. Pedroia, Youk, Lester and Papelbon all outstanding. Ellsbury, Bucholtz, Masterson, Lowry no slouches.<br /><br />I hope Yanks get their act together because The Rivalry is so much fun.
rsu12/4/2008 12:00:00 PM(Report inappropriate content)
Hey oldoug,are you that bored that you have to look at the yankee blogs? i know it must suck to be a astro and 49er fan but if you gunna hand out money to a team you better look at yours first...you will have alot to read after sunday when the jets spank the **** out of your 49ers...go yankees
deano39412/4/2008 6:17:00 AM(Report inappropriate content)
Ooooh, poor Yankees! Where do we fans of other teams send our donations to help them be competitive? Also, since these would be considered charitable, would they be tax deductible?
oldoug12/3/2008 17:27:00 PM(Report inappropriate content)
NEW YORK IS GOING DOWN, The Giants wont win a S Bowl, The Yanks wont win a W series, THe Mets are always playing below there ability, just like the Jets, I dont like Boston either, b/c Iam jealous, but they have the best franchise in sports right now, So give them credit, even if the fans are just showing up!!!!!!! Lets see how many Yanks fans and Corp donations come if the Yanks lose 100 games!
12/3/2008 15:01:00 PM(Report inappropriate content)
Look at all you redsux fans...you win two rings in the last 95 years and now theirs 10 millon fans around.where were you all this time ?? oh yeah can you say bandwagon jumpers??.<br />and to have a casket made with all that logo stuff on it.lol..you are a joke...anyway they might need that wood from the caskets to put more seats someware...like maybe popping out of the grass,and sure they can get 100 more in there....
deano39412/3/2008 12:05:00 PM(Report inappropriate content)
lonabishop <br />12/2/2008<br />11:33 AM (report inappropriate content)<br /><br />Eldanger<br />12/2/2008<br />9:55 AM (report inappropriate content)<br /><br />I'm sick of hearing all these couch potatoes that watch 40-50 games on T.V for 1 particular team and suddenly they become baseball GMS. Their sheer judgment and jealousy gleams through every word when they speak of the NY Yankees. <br /><br />Here is a team that Steinbrenner purchased for 10 million and made him a fortune... Secret? SPEND MONEY, BRING PLAYERS PEOPLE WANT TO SEE PLAY, ATTEMPT TO WIN!! <br /><br />After all, All these other team owners are incredibly wealthy too!! They just chose not to re-invest in their teams. Ex, Florida Marlins! They win it all, break the team apart and no one complained!! Please forgive me, but if you owned the team, wouldn't you want the best for your team/organization and fans? I know I would! So shut up and stop complaining! Steinbrenners don?t take the money from your pay check to pay their players! Stop feeling bad for all these other owners who are also billionaires who rather hike the tickets and stuff their pockets with money! Let them buy who they want, in the end, it has been proven over and over, you can buy talent, but you can't buy a championship! Any questions? Ask AROD.<br />In case you haven?t noticed:<br />1. Stienbummer?s approach only worked for 4 years if you only count championships.<br />2. Other teams now use the same approach but more wisely when it comes to pitching 2nd, character 1st.<br />3. With CC, Burnett, Peavy, sheets, and Tex all going somewhere else even if its for a little less money the 2008 off season is slipping away fast.<br />4. You don?t have the young talent to get it done through trades.<br /><br />Next Year Loserkeees finish last in AL East! You heard it here first!<br /> <br />------<br /><br />Ionabishop - Steinbrenner bought the team in 1973. Since that time his team has been to the post season 18 out of 35 yrs. (over 50%) They've been to the WS 10 out of 18 of those yrs. winning 6 championships. Name me one other MLB team that's come even remotely close to that success.<br /><br />You'll die trying.<br /><br />So you see, the Steinbrenner approach hasn't worked for only 4 yrs. You can't win the WS if you don't get there. They've been there more than ANY OTHER TEAM over that span of time. No matter how you slice it, the Steinbrenner era has been nothing but a success. You and I may not like the method to the madness, but don't just toss it to the curb and denounce it as a failure.
CowboyInCT12/3/2008 11:58:00 AM(Report inappropriate content)
nysemem25<br />12/2/2008<br />8:31 AM (report inappropriate content)<br /><br />And the Yankees arrogance in spite of a lousy economy is proven when you call and try and get season tickets. I called and was told that only premium seating full season packages were availible. At over 30,000 for each ticket. I wanted something in a more reasonable price frame and they said to call the box office. No one answers in the box office until February.<br /> <br />-----<br /><br />It has nothing to do with arrogance. It has to do with the fact that season ticket packages have been sold out since Sept.......The box office doesn't open for single game tickets until they go on sale. That date has yet to be announced. Every article I've seen stated that there would not be any mini plans available until much later in the season.....Instead of throwing around BS do a little research.
CowboyInCT12/3/2008 9:43:00 AM(Report inappropriate content)
Brink, where have you been? Do you have even an iota of a living brain cell in your body? They didnt let abreu go. Why dont you read the article. They can now sign him at considerably less. And Burnett???? Gimme a break. One season where he had more than 12 wins in his whole career does not make him worth the $75 million he is asking for. he is not even worth half of that. Can you say "Carl Pavano" It would be a travesty if the yankees were to sign this oft injured loser.
usblues12/3/2008 9:06:00 AM(Report inappropriate content)
Sabathia and Burnett make the Yankees the team to beat again. Signing Lowe or Manny make them an absolute joke. Letting Bobby Abreu go was a bad move.
mcbrinkosu12/3/2008 8:27:00 AM(Report inappropriate content)
Ionabishop...<br /><br />-I'm not even sure that your comment deserves a response but, I'll give you the courtesy. <br /><br />First, I don't know if you actually read what I wrote. 2nd, you are the exact couch potato I was referring to. 3rd, the Yankees were the team of the 90's if you didn't notice... which goes even beyond what Tom Brady's Kneee said, the strategy turned the Yankees of the 80's (where Steve Balbony was the clean up hitter) to a very competitive team from there until now. 4th, it pushed the rest of the American League East to become more competitive, And most importantly, I REPEAT, they are not doing it with YOUR money!! <br /><br />Now that I think about it... I don't know what was worse, Ken's article or your reply.<br /><br />Ken... next article please!
Eldanger12/3/2008 6:34:00 AM(Report inappropriate content)
Rosenthal's not all there. If the Yanks went to arbitration with either of these players, there will be an increase in salary. Arbitrators never reduce salary. The Yanks can try to get them for less, or simply replace them with free agents that would cost less. Considering their overall production, the Yanks are actually proving themselves to be wise.
ktb888812/3/2008 6:08:00 AM(Report inappropriate content)
Nobody cares about the Yankoffs... They're a disgrace to pro sports... they're the anti-Christ
thebigPerky12/2/2008 23:44:00 PM(Report inappropriate content)
If the yankees can sign Texiera and Sabathia they would not need to sign another free agent unless they can get Lowe for less money. Abrieu is a quality player but he is also an aging costly player and the money the yankees save could be used to get Texiera. The yankees knew that Swisher was better than average playing the corner outfield positions. That means better defense at firstbase and in the outfield. If the y sighned Texiara he would improve the defense for sinker ball pitcher lik Lowe and Wang. I assume this is the yankee stradigy along with bringing in more of their youth.
Bigcarm12/2/2008 20:54:00 PM(Report inappropriate content)
i DON"T THINK ITS SO MUCH THE ECONOMY THAT MADE THIS DECISION. iTS MORE OF THE CROWDED OUTFIELD AND DH POSITIONS THE YANKS HAVE FILLED, THOUGH ANOTHER DRAFT PICK WOULD HAVE BEEN NICE FOR ABREU DEPARTURE.....
nyynkees212/2/2008 19:57:00 PM(Report inappropriate content)
I hope they sign 'em and CC too...<br /><br />We still gunna whip ya!<br /><br />-Blood
bloodredsox12/2/2008 16:13:00 PM(Report inappropriate content)
I think this is a fine strategy for the Yankees considering the way they have spent money the past few years. If they can get the pitching they so desperately need, and cut payroll, they will be in a good position for 2009. Their fielding will make due.
scwarren812/2/2008 15:39:00 PM(Report inappropriate content)
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