That's a much better deal. His $4M player option in the 3rd year will likely make him pretty useless by that point, but that's still not that much money. I wouldn't call it a great deal, but definitely not bad.
Anyone notice how there aren't that many good lefty relievers out there right now? Wagner and Guardado don't count as they will close most likely wherever they go. Ryan will probably, but not for sure, setup. Outside of them, who else is there? Marte, Rhodes, King, and Gonzalez. Gonzalez will likely close, and the rest are not that good.