Max Scherzer signs with Nationals (7 years, $210MM)

[superfly]

Heyman now saying Scherzer nearing a 7 year deal...and its between the Nats and "At least one mystery team." Fireworks are sure flying this afternoon.

 

 

Top free agent pitcher Max Scherzer is talking to the Nationals and at least one other club about potential seven-year scenarios, sources said.

 

The Nats have a chance to win the services of the top free-agent pitcher after coming out of nowhere. Nats GM Mike Rizzo drafted Scherzer for the Diamondbacks and has long been an admirer.

 

A deal is expected to happen in coming days with the Nats or one of the other finalists.

 

The Nationals haven't been able to lock up shortstop Ian Desmond or starting pitcher Jordan Zimmermann to long-term deals and each have been discussed in trade scenarios. The two players are set to hit free agency after the 2015 season.

 

Scherzer, 30, was 18-5 with a 3.15 ERA and 252 strikeouts in 220 1/3 innings for Detroit last season. He was the Cy Young winner in 2013 and finished fifth in voting in 2014. The two-time All-Star rejected a six-year, $144 million extension offer last spring.

 

http://www.cbssports.com/mlb/writer/jon-heyman/24974966/max-scherzer-in-talks-with-nats-and-others-on-7-year-deal-deal-soon

[DHonks]

Negotiating with an owner sounds like Mark A

[superfly]

Negotiating with an owner sounds like Mark A

 

After what has transpired in the last hour, we may need it to be Mark A. to keep mass suicides in Wisconsin from happening.

[Invader3K]

Negotiating with an owner sounds like Mark A

 

After what has transpired in the last hour, we may need it to be Mark A. to keep mass suicides in Wisconsin from happening.

Yes, this times 1000.

 

Seriously though, I have no idea if this is realistic.

[markedman5]

Max Wildstein ‏@MaxWildstein 3m3 minutes ago Georgia, USA

BREAKING: #Nationals are close to an agreement with Max Scherzer, but deal not done, yet, sources tell @AdamKilgoreWP. #MLB

[DocLuna7]

If the Nats sign Scherzrer does that mean that we are pursuing Shields?

[TURBO]

I do NOT want James Shields, please, no...

[BeerFan]

I would rather have to use Nelson in the rotation than pay James Shields. The possibility of Jordan Zimmerman has me intrigued though.

[brewmann04]

I don't think they sign Shields. And nats overpaying for Matt

[brewmann04]

It may create a trade for a guy like Zimmerman

[ewitkows]

Done deal according to mlbtraderumors. No $$ yet

[jerichoholicninja]

http://www.mlbtraderumors.com/2015/01/nationals-to-sign-max-scherzer.html

 

Scherzer will receive $210MM for seven years of work, but the contract has an unusual structure, with Scherzer receiving $15MM per season for the next 14 years, Ken Rosenthal of FOX Sports tweets. That means the Nationals will be paying Scherzer through 2028. Also, Yahoo! Sports’ Jeff Passan tweets that the deal includes a $50MM signing bonus that will be paid out “over a portion of time” for tax reasons. That bonus would, presumably, be included in the $210MM total. As Passan notes, the deferral makes the contract worth about $185MM in present-day dollars. The structure of the contract and Washington DC tax laws could ultimately save Scherzer over $20MM, however, Passan reports. Scherzer’s deferral is, obviously, the largest one in MLB contract history, leaving Bobby Bonilla and the Mets’ lengthy $29.8MM deferral in the dust.

[igor67]

Very exciting if you're a Nats fan, but it sure seems like after all those huge draft picks they are going to be reduced to just a couple of years with a really great team. The Bonilla deferral was small enough in annual terms that inflation really made it small potatoes by the end. No reasonable amount of inflation is going to make the 15million a year for another 7 years a small deal if they can't bring home a title.

[clancyphile]

I'm surprised more players are not going for deferrals.

[jerichoholicninja]

I'm surprised more players are not going for deferrals.

 

I would think some players like it but the clubs I'm sure aren't too keen on paying players who aren't on their roster. I mean Scherzer is going to be one of the higher paid Nationals for years after he's retired.

 

I'm surprised deferred money doesn't happen more often with super star players (like Scherzer) because that's how a small market team can afford to give out a $150M+ contract. Isn't a chunk of Brauns deal deferred as well?

[logan82]

I'm surprised more players are not going for deferrals.

I am surprised they go for deferrals. The money will be worth less in the future than it is now.

[jerichoholicninja]

Interesting note that the contract does not contain a no trade clause.

[RightFieldCoder]

I'm surprised more players are not going for deferrals.

I am surprised they go for deferrals. The money will be worth less in the future than it is now.

The final dollar amount is usually greater because of this.

 

(using made up dollar amounts)

"We'll give you $110M for the next 7 years. Or we'll give you $150M over the next 14."

"You'll give me $150M? Where do I sign?"

 

The Mets did the Bonilla deal because they had this guy named Madoff who would make them more in interest. But Bonilla's was guaranteed money.

[pete]

The trick with deferred payment is estimating true inflation and not the government number. I wonder if MLB would allow a contract that calls for payment tied to the price of gold.

 

The flip side of the Scherzer contract is the up front money. I think the 50m is paid out at 2 week intervals. I can't conceive that.