Re: Humphries Firesale
posted at 7/13/2013 3:38 PM EDT
In response to R9R's comment:
That's correct. Since this will be structured as more than 1 trade involving multiple players the C's can trade any player asap rather than the usual holding period. Because Bogan is a S&T he is exempt from the holding period as well. They needed to give Bogans a three yr deal in a S&T with the first year guaranteed to make the numbers work. But what most forget is that by waiving Bogans, he gets his guaranteed 1st yr salary (about $5MM) which the C's can stretch over twice the length of the contract plus an additional year giving us 7 yrs to write off that $5MM .... Danny is a GENIUS!!!!
Wait a minute, two things:
1. Are you sure the non-guarenteed salary after year 1 is not made guarenteed by using the stretch provision?
2. Isnt the stretch provision the number of years left*2 +1. If its just the one year guarenteed of 5M, wouldn't that be "stretched" over 3 years, not seven?
I may be wrong, but seems like its got to be one or the other. 7 years of everything guarenteed, or 3 years with the 5M.
They are only responsible for only the Guaranteed portion of his salary once waived. You are correct though that the portion of the contract being paid can be stretched ... so, since it's $5MM for 1 yr the C's can stretch that over 3 yrs and can reduce the team salary by $3.3MM since they are only charged with $1.7MM/yr.
The waiving team continues to pay the guaranteed portion of the terminated contract (see question number 62). For contracts signed or extended before the current CBA took effect, the team and player may negotiate a revised payment schedule (see question numbers 65 and 66). The revised payment schedule may call for the guaranteed portion of the player's salary to be paid over a longer or shorter period of time than originally specified in the contract, or even as a lump sum.
Individually negotiated revisions to the payment schedule are not allowed for contracts signed or extended under the current CBA2. For these contracts or extensions the remaining guaranteed salary for a waived player is "stretched" and paid in equal amounts over a greater time span, as follows:
- If the player is waived from July 1 to August 31, then his remaining salary is paid over twice the number of years remaining on his contract, plus one. For example, if the player is waived on August 1 with two seasons remaining on his contract at $10.2 million and $10.3 million, respectively, then his remaining salary is paid over five years (two seasons times two, plus one), in even amounts of $4.1 million per year.