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Thoughts on Gallardo's $30 million/5 year extension?

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Re: Thoughts on Gallardo's $30 million/5 year extension?

Postby Neato Torpedo » Sat Apr 10, 2010 3:29 pm

Matthias wrote:
Neato Torpedo wrote:
Matthias wrote:Not considering this is an arbitration year, he isn't.

Billingsley agreed to a $3.85 million contract this year to avoid arbitration. Matt Kemp signed a 2 year deal for an average of $5.5 million per. Lincecum signed a contract for 2 years for $11.5MM after winning his 2nd Cy Young. Wandy Rodriguez lost his arbitration case and had to settle for $5MM.

So again, considering that Gallardo now has financial security, I think the deal is fair to both sides. Not a major steal either way, though.

Yeah but this is slightly over $3 million/year for the next 3 years which is cheaper than any of those guys.

Well, depends on how you value the FA year, but I'd say $12MM is a good number, which makes the arbitration years $3.5MM per.

That's slightly less than Billingsley but Gallardo now has financial security. Kemp is better than Gallardo. And Linceum already has two CY's. And this covers Gallardo's first year of being eligible for arbitration when I think players traditionally get less. Something else to consider is: "Gallardo’s agreement replaced a one-year contract that Milwaukee had renewed for $450,000 last month." So really, the contract could be thought of as:

This year: $450,000
2011, Arb Year #1: $3.5MM
2012, Arb Year #2: $5.5MM
2013, Arb Year #3: $8.5MM
2014, FA Year: $12MM

Those are pretty fair numbers. I'm not saying that this isn't a good deal for the Brewers, but I don't think it's a super steal. Sure, when you compare them to CZam or Zito who were FAs it looks criminally cheap. But that's just a reflection of the differences in negotiating power. So the Brewers move forward, knowing that they have their best pitcher locked up for the next 4 years and can avoid the distractions of contract issues. And Gallardo knows that if his elbow was to explode tomorrow, he still has enough money to provide for his family for the rest of his life. It's one of the rare cases that really are a win win.

Oh, I thought his arb years ended in 2011, nice math on my part. :*) OK so the extension isn't 8-o but it's still a great deal.
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Re: Thoughts on Gallardo's $30 million/5 year extension?

Postby Matthias » Sat Apr 10, 2010 4:40 pm

Neato Torpedo wrote:
Oh, I thought his arb years ended in 2011, nice math on my part. :*) OK so the extension isn't 8-o but it's still a great deal.

Yah, that's what I'm saying.
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