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Warren revisited
RE-ANALYSIS
When the Patriots agreed to a five-year contract extension with defensive end Ty Warren last week, we reported that the deal extended through the 2011 season. Not so. The deal actually extends through 2013.
This is a significant point, because it means Warren is under contract to the Patriots for the next seven seasons, not the next five.
Warren received a $7 million signing bonus and $7 million option bonus as part of the extension. The extension includes $18 million in guarantees. The three-year average of new money is $7.4 million.
The base salaries break down as follows:
Much of our previous analysis on the deal still applies.
In our view, Warren took significantly less than he potentially could have received on the open market, as he elected for financial security and settling in New England over the risk of waiting at least another two years to hit free agency. Warren's initial deal expired after the 2008 season.
Meanwhile, the Patriots could have decided to keep Warren at more manageable salaries in 2007 and 2008, and then negotiated with him on a new deal with a big up-front bonus payment. The Patriots would have benefited from that in the short-term, but potentially could have paid a heavier price in the long run.
In the end, the two sides met in the middle to strike a deal, reaching an agreement that both were comfortable with when assessing the risk involved.
Prior to the extension, Warren was assuming the risk to get to free agency healthy and then get his pay day. That would have been after the 2008 season, or perhaps later if the team used the franchise tag to retain his rights.
After the extension, the risk now shifts more to the Patriots side. In guaranteeing Warren $18 million with two years left on his original deal, the team is banking on the fact that he will continue ascending. For assuming that risk, the Patriots lock up Warren's rights for seven years, which is a significant amount of time in the prime years of his career.
WEDNESDAY PLAN: Patriots coach Bill Belichick will hold a press conference at 10:45 a.m. The media will have access to the locker room after that, then practice.
