Terry Francona is guaranteed $12 million in the three-year contract extension he has agreed to with the Red Sox.
The Sox have the option to add two more years, bringing the potential total value of the package to $20 million, or an average of $4 million a year. The two option years must be exercised together after the 2011 season. If the options are not exercised, Francona receives a $750,000 buyout, guaranteeing him an average payout of $4 million over the three years.
The $4 million mark is a significant one, placing Francona just behind Joe Torre of the Dodgers (a reported 3 years, $13 million) at the highest level of the managerial salary scale.
‘‘It was important for Tito to be recognized as one of the top two or three managers in the game,’’ said Francona’s agent, Pat Rooney, of negotiations that concluded Saturday night, with general manager Theo Epstein informing the players of Francona’s new deal before yesterday morning’s workout.
The contract also provides for Francona to receive an additional $250,000 in any year that the Sox return to the World Series.
The last year of Francona’s current deal calls for him to be paid $1.75 million in 2008. Under terms of the extension, his salary doubles to $3.5 million in 2009, $3.75 million in 2010, and $4 million in 2011.