Tweet
My post about the McGahee situation at The GangGreen
In response to this thread:
The Bills and Rosenfarce know that McGahee's rookie cap number cannot exceed $1.018 million because that's what remaining in the rookie pool allocation. If you look back to the 2002 draft, the 23rd pick was LB Napoleon Harris. His contract details are:
LB Napoleon Harris (Northwestern/No. 23) -- Signing bonus: $3,000,000. Base salaries: $470,000 (2002); $587,500 (2003); $705,000 (2004); $822,500 (2005); $940,000 (2006); and $1,057,500 (2007). Notes: Team can exercise buyout/option clause of $775,000 next spring to extend contract through 2008, with base salary of $894,000 that year. If option is exercised, base salaries are reduced to $306,000 (2003); $424,000 (2004); $541,000 (2005); $659,000 (2006); and $777,000 (2007). But the contract voids to five years if player reaches minimum playing time benchmarks. Total: six years, $6,525,000; or seven years, $7,846,000; or five years, $6,175,000. Cap value: $948,570.
or the 21st pick, TE Daniel Graham
TE Daniel Graham (Colorado/No. 21 overall) -- Signing bonus: $1,425,000. Base salaries: $800,000 (2002); $1,000,000 (2003); $1,200,000 (2004); $1,400,000 (2005); and $545,000 (2006). Notes: Team can exercise option of $2,775,000 next spring on '06 season. If team exercises option then base salaries are reduced to $300,000 (2003); $450,000 (2004); and $530,000 (2005). Total: five years, $6,825,000. Cap value: $1,085,000.
Both players were healhty coming out of college but, more so with Graham, signed deals with two-tiered signing bonuses. This is what Bills GM Tom Donahoe wants to do with a player NOT LIKELY TO PLAY IN 2003. Split the signing bonus into 2 seasons with the aforementioned parameter: max. rookie cap number of $1.018 million and not put ALL THE SIGNING BONUS INTO HIS POCKET. The risk should be split between the organization and the player.
How is this "screwing McGahee"? Rosenfarce is doing more to screw him than Donahoe.
This year's 27th pick, RB Larry Johnson rec'd this:
RB Larry Johnson, Penn State (No. 27 overall): Signing bonus: $3,310,000. Base salaries: $452,000 (2003); $515,000 (2004, plus $50,000 workout bonus); $628,000 (2005, plus $50,000 workout bonus); $741,000 (2006, plus $50,000 workout bonus); $854,000 (2007, plus $50,000 workout bonus); $967,000 (2008, voidable, plus $50,000 workout bonus); $1,080,000 (2009, voidable, plus $50,000 workout bonus). Total: seven years, $8,847,000 or five years, $6,700,000.
To quote John Gotti from the movie Gotti:
It's all about parameters
The parameters for a deal all set, it basically comes down to wills and my money is on Tom Donahoe.
BTW: If the Bills sign McGahee right now, Bills must release a healthy player at the height of training camp...........look for the deal to be finalized come first cutdown or maybe final cutdown. Also, since he's likely NOT to play in 2003, he will be on PUP til week 10 and then transferred to IR, his salary is essentially GUARANTEED, thus it's not necessary to put as much in the upfront bonus
My prediction:
Upfront signing bonus $2.45 million with $1.5 million option payment. Salaries: $500,000(2003), $550,000(2004), $650,000(2005), $700,000(2006), $800,000(2007), $900,000(2008), & &1 million(2009). Make 2008 & 2009 voidable with playing time incentives relatively easy for voiding 2009 but tougher to void 2008. "In Buffalo" Workout bonuses of $150,000 in both 2003 & 2004. $50,000 in 2005-2009. Total: 7 yrs-$9.6 million OR 5 yrs-$7.69 million. 2003 cap value $1 million
In my deal, McGahee walks away with $3.1 million and may never play a down. Granted, Tom Donahoe is doing this somewhat different, but he also knows he cannot leave much rookie cap allocation on the table.
The Bills and Rosenfarce know that McGahee's rookie cap number cannot exceed $1.018 million because that's what remaining in the rookie pool allocation. If you look back to the 2002 draft, the 23rd pick was LB Napoleon Harris. His contract details are:
LB Napoleon Harris (Northwestern/No. 23) -- Signing bonus: $3,000,000. Base salaries: $470,000 (2002); $587,500 (2003); $705,000 (2004); $822,500 (2005); $940,000 (2006); and $1,057,500 (2007). Notes: Team can exercise buyout/option clause of $775,000 next spring to extend contract through 2008, with base salary of $894,000 that year. If option is exercised, base salaries are reduced to $306,000 (2003); $424,000 (2004); $541,000 (2005); $659,000 (2006); and $777,000 (2007). But the contract voids to five years if player reaches minimum playing time benchmarks. Total: six years, $6,525,000; or seven years, $7,846,000; or five years, $6,175,000. Cap value: $948,570.
or the 21st pick, TE Daniel Graham
TE Daniel Graham (Colorado/No. 21 overall) -- Signing bonus: $1,425,000. Base salaries: $800,000 (2002); $1,000,000 (2003); $1,200,000 (2004); $1,400,000 (2005); and $545,000 (2006). Notes: Team can exercise option of $2,775,000 next spring on '06 season. If team exercises option then base salaries are reduced to $300,000 (2003); $450,000 (2004); and $530,000 (2005). Total: five years, $6,825,000. Cap value: $1,085,000.
Both players were healhty coming out of college but, more so with Graham, signed deals with two-tiered signing bonuses. This is what Bills GM Tom Donahoe wants to do with a player NOT LIKELY TO PLAY IN 2003. Split the signing bonus into 2 seasons with the aforementioned parameter: max. rookie cap number of $1.018 million and not put ALL THE SIGNING BONUS INTO HIS POCKET. The risk should be split between the organization and the player.
How is this "screwing McGahee"? Rosenfarce is doing more to screw him than Donahoe.
This year's 27th pick, RB Larry Johnson rec'd this:
RB Larry Johnson, Penn State (No. 27 overall): Signing bonus: $3,310,000. Base salaries: $452,000 (2003); $515,000 (2004, plus $50,000 workout bonus); $628,000 (2005, plus $50,000 workout bonus); $741,000 (2006, plus $50,000 workout bonus); $854,000 (2007, plus $50,000 workout bonus); $967,000 (2008, voidable, plus $50,000 workout bonus); $1,080,000 (2009, voidable, plus $50,000 workout bonus). Total: seven years, $8,847,000 or five years, $6,700,000.
To quote John Gotti from the movie Gotti:
It's all about parameters
The parameters for a deal all set, it basically comes down to wills and my money is on Tom Donahoe.
BTW: If the Bills sign McGahee right now, Bills must release a healthy player at the height of training camp...........look for the deal to be finalized come first cutdown or maybe final cutdown. Also, since he's likely NOT to play in 2003, he will be on PUP til week 10 and then transferred to IR, his salary is essentially GUARANTEED, thus it's not necessary to put as much in the upfront bonus
My prediction:
Upfront signing bonus $2.45 million with $1.5 million option payment. Salaries: $500,000(2003), $550,000(2004), $650,000(2005), $700,000(2006), $800,000(2007), $900,000(2008), & &1 million(2009). Make 2008 & 2009 voidable with playing time incentives relatively easy for voiding 2009 but tougher to void 2008. "In Buffalo" Workout bonuses of $150,000 in both 2003 & 2004. $50,000 in 2005-2009. Total: 7 yrs-$9.6 million OR 5 yrs-$7.69 million. 2003 cap value $1 million
In my deal, McGahee walks away with $3.1 million and may never play a down. Granted, Tom Donahoe is doing this somewhat different, but he also knows he cannot leave much rookie cap allocation on the table.
Comment