Yankees Get Their Man: Tanaka, 7 Years, $155MM

MLB.com photo of Tanaka visit to Yankee Stadium in 2006 in which he met Hideki Matsui

The YES Network reported yesterday that Masahiro Tanaka had narrowed his decision to two  teams- the Yankees and the Chicago Cubs. According to FOX Sports' Ken Rosenthal the Yankees are that team.

Tanaka and the Yankees have reportedly agreed to a seven-year, $155MM deal, the fifth highest amount for a starting pitcher.

Tanaka joins CC Sabathia, fellow countryman Hiroki Kuroda, Ivan Nova, and a pitcher to be determined in the Yankees starting rotation. After a miserable 2013 season and uncertainty of the effectiveness of the starting staff, the Yankees were determined to get Tanaka at any cost.

The Yankees beat out the Cubs, Los Angeles Dodgers, Chicago White Sox, and a surprise entry, the Houston Astros.

The Yankees were determined to get back to the playoffs after missing out two of the last six years. After the missed the post-season in 2008, the Yankees went out and signed Sabathia, A.J. Burnett, and Mark Teixeira, and dealt for Nick Swisher. All key ingredients to the Yankees winning their 27th World Championship in 2009.

As Jack Curry pointed out in the tweet below, the Yankees spent plenty this off-season to try to recapture that 2009 excitement.

Jack Curry @ JackCurryYES1m

Yanks determined 2 return 2 playoffs. Deals w Tanaka, Ellsbury, McCann, Beltran, Kuroda, Jeter, Thornton, Roberts, Johnson, Ryan cost $ 503M.

ようこそ、ニューヨーク・ヤンキースに = Welcome to the New York Yankees (I tweeted this to him this morning. Thanks freetranslation.com)

Japanese Report: Tanaka Has Received Five Offers

Japanese news service Nikkan Sports has reported that Masahiro Tanaka has received offers from five Major League teams. ToH to Rotoworld. and MLB Trade Rumors for bringing this to everyone's attention.

Google translation is far from perfect, but the Yankees, Dodgers, Cubs, Diamondbacks, and White Sox have made official offers to the Japanese star. The Angels were expected to be competitive as well, but owner Artie Moreno apparently decided that Tanaka was not in the budget. The Angels already have large investments in Albert Pujols, Josh Hamilton, and C.J. Wilson.

Here's the Google and freetranslations.com translation, with some modifications I have made so it makes a little more sense. I also removed some sentences that made no sense.

The negotiations for Rakuten star Masahiro Tanaka is close to the final stage pitcher. The Yankees, the Dodgers, the Diamondbacks, White Sox, Cubs have present formal offers. All the team seem certain to have presented offer of about 10.5 billion yen or more than $100 million (US) over six years.  

Still Derrick Hall, CEO of the Diamondbacks, announced the team's intention is clear. "Hopefully he has a strong interest and I want to win the competition" he said. 

Tanaka is expected to take his time making a decision. It appears the Angels were prepared to make an offer, but withdrew from considration. "Wewant him (Tanaka), but the problem is in the budget," said Artie Moreno, owner of the Angels owner. 

Tanaka Chooses Jeter's Agent As Clock Runs

It may not mean a thing, but with the clock now ticking for teams to try to sign Japanese free agent Masahiro Tanaka, the star pitcher has chosen Casey Close as his agent. Close's best known client is Yankees captain Derek Jeter.

January 24, 2014 at 5 p.m. EST is hard line in the sand for signing Tanaka to a Major League deal. The 25-year old will head back to Japan and no MLB team will be out $20MM if no terms are agreed upon.

The Yankees, obviously, are going to be major players in trying to add Tanaka to their starting staff at a cost that will reportedly exceed $100MM. And that is not counting the $20MM posting fee. The Los Angeles Dodgers have been very quiet, but are rumored to be ready to whip out their checkbooks as well. It's one of the reasons that they are trying to deal Matt Kemp and as much of the $128MM he's guaranteed over the next six seasons.

The Texas Rangers have been mentioned, but I wouldn't be so sure about that after the $130MM they handed Shin-Soo Choo.  The Chicago Cubs, Los Angeles Angels, and Boston Red Sox have also been rumored to be highly interested as well and I wouldn't count out Seattle or San Francisco either.

Youk Could Be Tanaka's Teammate

"Rak-what? Are they in the NL?"

There's probably more than a few people who looked at the above headline and went, "huh?". While Masahiro Tanaka may not be coming to the US, Kevin Youkilis is going to Japan to play for the Rakuten Golden Eagles.

Youkilis' agent, Joe Bick, confirmed the information with mlbtraderumors.com. Youkilis signed a one-year, $12MM with the Yankees last season, but played in just 28 games due to a bad back that led to season ending surgery.

The corner infielder has not played more than 122 games in a season since 2009 when he was in his sixth season in Boston. Injuries have taken their toll the the last three seasons as evidenced by Youkilis' plummeting slugging percentage and batting average.

Youkilis was unduly criticized by new Red Sox manager Bobby Valentine in 2012 and was sent to the Chicago White Sox at the trade deadline in July for Brent Lillibridge and Zach Stewart.

The 34-year old was on fire to start the 2013 season, posting a .931 OPS through the Yankees' first 13 games, but sat out a week after his back contributed to a 1-12 skid. He returned too quickly on April 27 and landed on the disabled list after one game.

Youkilis missed 30 games and then was 6-41 (.146) before his season came to a premature end. This season he'll take the place of another former, short-term Yankee (22 games in 2012), Casey McGehee, who left Japan to sign a contract with the Miami Marlins.

NY Times: On The 6th Day Before Christmas Rakuten Said No To Ma

The Grinch that kept Tanaka

New York Times reporter Ken Belson, citing several Japanese news sources on Thursday morning, reported that the Rakuten Golden Eagles have decided to not allow star pitcher Masahiro Tanaka to post to Major League Baseball.

Reports last night had Rakuten offering Tanaka 80MM yen ($8MM US) to remain in Japan for one more year. That figure could go as high as $12MM, three times the amount Tanaka earned in 2013.

The move would squlech the plans of the Yankees and other teams that were hoping to add a pitcher of Tanaka's magnitude to their starting rotation.

The Yankees should look for a short term fix - a deal for a quality pitcher that will not receive guaranteed money past the 2015 season. This is likely Hiroki Kuroda's last season, though it's been said before, so he could be replaced in 2015 by a pitcher acquired for this coming season. The Yankees should stay away from pitchers like Bronson Arroyo, who are looking for 3-4 year deals.

I'll repeat what I said earlier this week - Yovani Gallardo, MIL or Justin Masterson, CLE. I prefer Masterson.

Not So Fast Tanaka

Despite reports from Sanspo.com, first reported by the LA Times' Dylan Hernandez  and backed up by the Tohuku new service, Masahiro Tanaka has NOT been given the blessing to go stateside by Rakuten Golden Eagles CEO Hiroshi Mikitani. Hernandez reported the latter as well.

In fact, the team has offered Tanaka 80MM yen, the equivalent of $8MM US, to stay in Rakuten for one more year. I'm sure they will play on Tanaka's loyalties and do what ever they can to pressure the 25-year old into staying.

They'll have to do what they can, because $8MM is a pittance compared to what Tanaka stands to make  in the US. The latest from prognosticators has Tanaka getting a deal in excess of $100MM. Yu Darvish,by comparison received a $56MM contract with incentives that could amount to another $4MM.

The beat goes on.

Tanaka Gets the Go Ahead

According to the Daily Tohoku online news service - the Rakuten team is located in the Tohoku region - Rakuten Golden Eagles CEO Hiroshi Mikitani has decided to allowed pitcher Masahiro Tanaka to post to the Major Leagues.

There were no additional details to the report, but it confirms what Sanspo.com reported earlier on Monday. The Yankees are among the teams expected to bid the $20MM maximum posting fee to get a 30 day window to negotiate a Major League contract with Tanaka.

The last Japanese star to post out to a large paycheck was Texas Rangers pitcher Yu Darvish. The right-hander received a six-year, $60MM contract, which was in addition to the $51.7MM posting fee laid out by Texas.

With "just" $20MM headed to Japan if a team works out a deal with Tanaka, the man fans and the media call Mā-kun will likely get a deal that tops Darvish's contract. Perhaps five years, $65MM?

No matter the price, the Yankees will be going all-in on this one.

Rakuten Could Spoil Yankees Hopes

It's Tanaka or Bust

The Rakuten Golden Eagles are reportedly doing their best to talk star pitcher Masahiro Tanaka into staying one more year in the Nippon Professional Baseball (NPB) league. Rakuten would then use the year to try to sway Tanaka to stay a lot longer than that by making him a big money offer of their own. Even if he leaves after another year, the team will make some additional money off of him in the meantime.

The Yankees are among the teams that are counting on Tanaka getting posted to bolster their starting pitching staff. The Yankees, Red Sox, Cubs and others are all expected to bid the max $20MM posting fee to the opportunity to negotiate with Tanaka in the 30 day window of opportunity. (The Golden Eagles CEO Hiroshi Mikitani was said to be furious at the league's owners for approving the new, much lower $20MM fee.)

Tanaka would then get in the middle of a bidding war that could crazier than when the Yankees and Red Sox went after Jose Contreras back in the 2002-2003 off-season.

Rakuten would have been much more willing to post Tanaka had the fee agreement not changed from a free for all to a low (by their standards) ceiling. The Red Sox bid over $51MM for Daisuke Matsuzaka prior to the 2007 season and the Texas Rangers bid slightly more than that to get the rights to the last young star pitcher from Japan, Yu Darvish, before the 2012 season.

Should Tanaka stay in Japan, the Yankees rotation will have a huge hole to fill behind CC Sabathia, Hiroki Kuroda, and Ivan Nova. While the front office may be fine, for now, with Michael Pineda, David Phelps, Adam Warren, etc., battling for the fifth and final spot in the rotation, they realize that the rest of their rotation is not guaranteed to be successul.

Sabathia struggled mightily in 2013, Nova was back to his 2011 form, but the Yankees need him to maintain that consistency, and Kuroda will be 39-years old when the season starts.

The free agent market on pitching is slim pickings. The Yankees reportedly spoke with Bronson Arroyo, but he made over $16MM last season and the soon-to-be 37-year old (February) will be looking for one more big score.

Matt Garza has never impressed me over a full season and was paid in excess of $10MM last year. He'll be looking for 3-4 years in excess of $45MM. No thanks. The Diamondbacks and Angels are said to be the front-runners for his services. (The only benefit of the Yankees getting Garza would be to make him shave that ugly excuse of a goat beard - yes, goat not goatee.)

Ubaldo Jimenez was fantastic in the second half of the 2013 season for Cleveland, but it was the best he'd pitched by far since 2010. He's 29, but he's looking for way too many years and too many dollars. Let some other team take that gamble  based on a half season.

Paul Maholm is a decent back end of the rotation starter and he comes relatively cheaply, but he's not good enough for what the Yankees need.

Ervin Santana is another pitcher looking for a huge windfall, but is exremely inconsistent. If you've noticed, teams aren't exactly banging down his door.

Barry Zito? If that were to happen the men from Bellevue should take Cashman away in a straight jacket.

If Tanaka stays, the Yankees will have to swing a deal. They could revisit Homer Bailey, though he's more likely to be dealt at the trade deadline (if he's dealt at all) with free agency waiting in the wings after the season. He would also come at a heavy price in prospects...yes, the Yankees do have good ones despite what you have heard.

I still like the idea of Justin Masterson. who will also be a free agent after the season.  He made a little under $6MM in 2013. He's still arbitration eligible and should get a big raise after he made his first All-Star team this past season.

James Shields is the ace of the Royals staff and is set to make $13.5MM this season, his final before he is a free agent. If the Royals were to deal Shields it would be at the trade deadline as well.

Yovani Gallardo would be an interesting acquisition. There were a number of rumors during the last trade deadline, but Milwaukee hung on to the right-hander. Gallardo has 10 team no-trade clause that includes the Yankees, but since the Brewers have only made the playoffs twice in the last 30 years, maybe he would be willing to waive it.

Gallardo is in the fourth year of a possible five year deal that could net him $42.5MM when all is said and done. He'll earn $11.25MM in 2014 and there is a team option of $13MM in 2015, but it's accompanied by a mere $600,000 buyout.

Gallardo had the opportunity to void the option had he finished in the top three in NL Cy Young voting on more than one occassion. (Six points based accumulated based on five pts for winning the Cy Young, three pts for a second place finish, and one point for a third place finish) Gallardo received votes on just one occasion when he finished seventh in the 2011 voting, so that's not a concern.

What is a concern is Gallardo demanding the option be picked up in order to waive his no-trade clause. A twist would be to waive the no-trade clause if the option year was bought out ahead of time. Gallardo would likely rather hit the free agent market again than get tied up for one more year in a place he may not want to play.

So there you have it. It's pretty much Tanaka or bust for the Yankees...at least until the July trade deadline.

Yankees to Blow Away 189 Limit if Tanaka Comes Stateside

Hal Steinbrenner told the media Thursday that the $189MM target for the 2014 total payroll and extras was always a "goal, not a mandate." While the Yankees' employees may have gotten that impression, I don't know of too many (or any) fans who thought that was the case. Especially with the bargain basement moves Brian Cashman made last season.

With the possibility of the Rakuten Golden Eagles (Nippon Professional Baseball) posting star pitcher Masahiro Tanaka in the not so distant future, the Yankees will certainly do everything they can to land him. Which means they will blow the doors off the  $189MM limit.

Former MLB pitcher C.J. Nitkowski reported Friday on MLB.com that Rakuten owner Hiroshi Mikitani was furious at the NPB's 11 other owners for accepting MLB's proposal of a $20MM maximum posting fee. (There are rumors that the league may supplement the fee to make it more acceptable for a player of Tanaka's magnitude, but it is just a rumor for now). Mikitani and club president Yozo Tachabani (prefers Tanaka to stay in Japan) doesn't have much time to finalize their decision either way since spring training in Japan begins February 1.

The old posting system was accomplished via secret bids with the winner given an opportunity to negotiate a Major League contract with the player in question.  The new $20MM cap will allow more than one team to negotiate if multiple teams bid the same amount. That will certainly be the case with Tanaka, who was 24-0 this past season.

Teams that bid the the top amount will have 30 days to work out a Major League contract with the player. Besides the Yankees, the Red Sox and Cubs are also reportedly set to aggressively go after  the 25-year old right-hander.

Part of MLB's internal negotiations were about whether the new lesser fee would count towards the luxury tax. (The old posting system fee did not.) The new fee will reportedly not count towards the luxury tax either, but I have not read or heard a definitive outcome of  that part of the discussion.

Either way, the Yankees can forget the magic 189...whether it be a goal or a mandate. We know who's on first, but what's on second?

New Posting Fee Could End Yankees' Tanaka Dream

It appears that Major League Baseball and the Nippon Professional Baseball (NPB) have come to an agreement on the a modified posting process. The new agreement reportedly includes a posting fee ceiling of $20MM.

A maximum amount would change the entire dynamic of the posting system, which currently only allows the team with the highest bid on a player to negotiate a US contract. In 2006, for example, the Boston Red Sox bid over $51MM to get exclusive rights to pitcher Daisuke Matsuzaka.

With the new posting fee, a player such as Masahiro Tanaka could conceivably negotiate with multiple teams. If four teams bid the maximum posting fee of $20MM, Tanaka would get to negotiate with all four teams. In this respect, Tanaka's status would only be slightly different than that of a Major League free agent, who can negotiate with an unlimited amount of teams.

As for the MLB teams, every team might as well bid the max since only the team that signs Tanaka or whichever player it is, will have to pay a fee.

Not everyone is happy with the new agreement, specifically the owners of the Nippon franchises. Peter Gammons earlier tweeted that Tanaka's team, the Rakuten Golden Eagles, may never post their star right-hander due to the lack of money to be made off of him.

CBS Sports' Matt Snyder also reported that there could be another stipulation that works as a tie-breaker. If multiple teams bid the same amount for the right to negotiate, the team with the lowest winning percentage the prior year would win exclusive negotiating rights.

Neither situation seem ideal. I understand MLB's desire to limit the fees they send to Japan, but putting a cap on the amount is opening the floor to all 30 teams. Why not just let Tanaka negotiate with every team and then pay a percentage of the total contract to the Japanese. The fee amount could be a sliding scale based on the amount of money the player is set to earn.

I also understand the NPB's desire to not lose their top players to American baseball. However, in this regard, they are no better than Cuba in restricting their resident's freedoms.

Yankees May Have to go to Plan B Due to Posting System Disagreement

All reports had the Yankees going hot and heavy this winter for Nippon Professional Baseball star Masahiro Tanaka, but because of changes to the posting system Tanaka may be staying in Japan in 2014.

Up until now Major League teams put in blind bids on the rights to negotiate with a NPB player. The team that had the highest bid than had a month to negotiate a deal with the player. If no deal was struck, the amount of the bid was not sent to the Far East.

The complete details have not been announced, but the MLB players union has agreed to the new deal. There's a possibility that the two or three highest bidders would get the chance to negotiate with the player rather than just one team. CBS Sports' Matt Snyder reported that the NPB did not like the proposed idea and would like to receive a fee even if the player doesn't end up signing with an MLB team.

A bigger snag, reported by the NY Times' David Waldstein is coming from MLB, specifically the small market owners. They would like the bid amount to count towards the $189MM luxury tax. In a word, absurd.

The MLB players union will not go along with small market interference and in order to make that kind of a change, the Collective Bargaining Agreement (CBA) would have to be re-opened. I don't believe anyone wants that.

One possibility would be for NPB officials to allow a player to negotiate with MLB teams, with a fee to be determined. In the meantime though, the Yankees are going to have to start looking harder at alternatives to the 25-year old Japanese star. Unfortunately, the crop of current free agent pitchers are not in high demand.

MLB Starting Pitcher Free Agents (alphabetical order):

Bronson Arroyo: The 36-year old is a solid National League pitcher, having spent the last 8 years in Cincinnati. Puts up a decent ERA and WHIP, but is a fly ball pitcher. That didn't bode well at the Great American Ballpark and it won't in Yankee Stadium either. Just ask Phil Hughes.

A.J. Burnett: Not Funny!

Bartolo Colon: 40-years old, busted for PED use in 2012. Time to get younger, not fatter.

Matt Garza: About to hit the big 3-0 mark. Never been a big fan of his, think he is overrated. Has been banged up the last two seasons. No thanks.

Roy Halladay: Only if this was five years ago.

Tim Hudson: Remember that part where I said the Yankees need to get younger? Screw that. Hudson knows how to pitch and knows how to win. He'll be 39 in mid-July and I don't care. He's coming off a catastrophic injury (fractured ankle) that occurred when the Mets Eric Young Jr. accidentally stepped on his ankle on a play at first base, and I don't care. Hudson made $9MM the last four years, so give him a two-year, $24MM deal. Hell, throw in a third year.

Ubaldo Jimenez: This is a big risk, with either a big or little reward. Jimenez was bright lights, big city back in 2010 when he won 19 games, had a sub-3.00 ERA and topped 200 in innings and strikeouts. He's had some arm issue since then with the Rockies and Indians, but had a resurgence in the second half (ERA under 2.00) last season.

He'll be looking to get paid after he earned $5.75MM in 2013 and turned down Cleveland's $14.1MM qualifying offer. Despite the fact that he won't turn 30 until January, I don't see the Yankees committing the amount of money Jimenez and his reps will want.

Ricky Nolasco: I can't take another pitcher who spent the bulk of his career with the Marlins. He's likely to stay in the NL anyway.

Ervin Santana: Which Ervin Santana are you going to get? The guy who had an ERA of 3.24 last year or the one who had an ERA of 5.16 the year before. Santana isn't as up and down as it always seems to be, but his performance is inconsistent.  A bigger issue may be money. He made $13MM this past season and had one of his better years. Though he'll still be only 31 when the '14 season starts, I'm not willing to give him multiple years at many millions.

Jason Vargas: Became a free agent when the Angels did not extend a qualifying offer to him. I wouldn't mind this guy as a #4 starter in the rotation. Granted, his best days came in a pitcher's ballpark in Seattle, but he's a decent innings eater. He made $8.5MM last year, so a two-year, $18MM offer with an optional third year might do the trick. I wouldn't guarantee three years though. There's a good chance he'll re-sign with the Angels.

No matter how you slice it, not a lot to choose from. The Yankees will also want to reserve some money for Tanaka if they have to wait until 2015 to try to get him.