New York and Texas finalized the terms of a trade Sunday, and the players' association gave its approval. The last hurdle was for commissioner Bud
Selig to sign off on a deal, a high-ranking baseball official told The Associated Press on the condition of anonymity.
Approval from Selig was expected Monday, and the Yankees began planning for a Tuesday news conference in New York to introduce the first reigning MVP
Rodriguez will move from shortstop, a position where he's been a seven-time All-Star, to third base, where he will replace injured Aaron Boone. The
Yankees will keep their captain, Derek Jeter, at shortstop.
Texas will wind up paying $140 million for three seasons with Rodriguez, an average of $46.7 million annually for three last-place finishes in the AL
West. The Yankees will owe him $112 million for seven years.
Under the deal, the Yankees pay Rodriguez $15 million in each of the next three seasons, $16 million each in 2007 and 2008, $17 million in 2009 and
$18 million in 2010, according to contract information obtained by the AP from player and management sources.
In each of the first four years, $1 million will be deferred without interest, to be paid in 2011.
The trade calls for Texas to pay $43 million of Rodriguez's salary over the remaining seven years: $3 million in 2004, $6 million each in 2005, 2006
and 2010, $7 million apiece in 2007 and 2009 and $8 million in 2008. In addition, the Rangers will pay the $24 million remaining in deferred money
from the original contract, with the interest rate lowered from 3 percent to 1.75 percent.
In the end, Texas will pay $67 million of the $179 million left on Rodriguez's record $252 million, 10-year contract, and will get All-Star second
baseman Alfonso Soriano and a player to be named.
All the deferred money owed by Texas -- $36 million including salaries from 2001-03 -- will be lumped with the original $10 million signing bonus, of
which $4 million is still owed. The payout schedule will be pushed back to 2016-2025 from 2011-20.
In exchange for the alterations, which devalue the present-day value of the contract by $5 million, Rodriguez will receive a hotel suite on road
trips, have the right to link his Web site to the Yankees' site and get a guarantee that the deferred money won't be wiped out by a work stoppage.
Boras said that as part of the deal, the Rangers will buy Rodriguez's home in Texas and his luxury suites at The Ballpark in Arlington and American
Ultimately, baseball's biggest spenders will raise their payroll to about $190 million.
All I can say is wow!