Archive for the ‘San Diego Padres’ category

Anaheim Angels and Mike Trout in Agreement on 10-Year $360 Million Extension

March 20, 2019

The Angels and Mike Trout are reportedly in agreement on a ten-year extension for the 2021 through 2030 seasons that will pay $360M for these seasons and nearly $430M guaranteed going forward.  Mike Trout is certainly worth a record-setting deal, although I have my doubts about Trout’s ability to remain healthy during the second half of the commitment.

Some commentators think the Angels got a bargain, given that Trout has arguably been worth about twice the annual contract average since becoming a full-time major leaguer in 2012.  Even so, $36M per season takes up a big chunk of budget (although the big market Angels can afford it), and Trout can’t win by himself no matter how well he plays, as evidenced by the fact that he has played in only three post-season games in his eight seasons with the Halos.

My guess is that this will be a great contract for the Angels for the next six seasons through 2024, but will become an albatross like Albert Pujols‘ deal, which still has three expensive years to run even though Prince Albert is no longer even a replacement level player.  Mike Trout is just too big (listed at 6’2″ and 235 lbs, roughly the same as Pujols) to expect that he will age gracefully once he passes the age of 32.  It could happen, but I sure wouldn’t bet on it.

In short, it is probably a fair contract that well benefits all concerned.  The Angels get to hold on to the game’s best player for all or nearly all of his major league career; Mike Trout gets a record-setting deal that well tops the deals that Bryce Harper, Manny Machado and Giancarlo Stanton got; and future major league superstars and their agents get a new record to shoot for in future contract negotiations.  It’s a win-win all the way around, and, as I like to say, Mike Trout won’t be going to bed hungry any time soon, even if he did leave some money on the table.

 

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Philadelphia Phillies to Sign Bryce Harper for $330 Million

February 28, 2019

Now I feel like I know why it took so long for Bryce Harper to sign a deal.  It was a obvious that Harper and Scott Boras were determined to top the $325 million guarantee that Giancarlo Stanton got no matter what, but it didn’t happen until the Phillies were able to spread it out over a 13 year period.

I had been expecting that Harper would get an 11 year, $330M contract — in other words, the same deal that Manny Machado got with an extra year at $30M tacked on at the end.  The reports had been so fixated on a ten-year contract length, that I hadn’t expected this fairly obvious final outcome — Harper gets the same 13 years as Stanton for $5M more, which allows Harper and Boras to claim victory while the Phillies at least get to spread the money out over two or three more seasons.

Harper also reportedly will receive a full no-trade clause with no opt-outs in the deal.  If Phillies’ fans don’t take to Harper and vice versa if could be a long 13 years.  Of course, no trade clauses are made to be bought out if the player and team are both no longer happy with the arrangement.

Meanwhile, the Giants are s@#$ out of luck.  The Phillies now have at least one too many major league outfielders, and I imagine that even with the sorry state of the Giants’ farm system, a cheap trade could be worked out for 28 year old Aaron Altherr.

Nick Williams would be a better trade chip for the Phillies, not least because Williams sure isn’t going to be happy about being relegated to a back-up role, but he might be too costly in terms of the prospects that the Giants would have to surrender to acquire him.  I would expect the Phils to hold onto Odubel Herrera and Roman Quinn, as giving them the strongest outfield as the Phillies obviously try to win their division.

P.S.  The latest reports are that the Giants offered Harper $310M over 12 years, but that due to the difference in state taxes between California and Pennsylvania (and no doubt taking into account that the Phillies play in a much better hitters’ park), the Giants would have to beat the Phillies’ final offer by $20M.

San Francisco Giants Back in on the Hunt for Bryce Harper

February 27, 2019

The Giants are reportedly back in on the hunt for Bryce Harper and now willing to offer him the record-setting ten year deal he has been seeking.  It is not particularly surprising that the first few games of spring training action have made the Giants worried about the apparently sorry bunch of outfielders they have on hand.  The Dodgers are also reportedly considering meeting Harper’s and Scott Boras’ ten-year contract demand, but the fact remains that the Gints sorely need Harper in their 2019 outfield a lot more than either the Phillies or the Bums do.

Even with the Giants seemingly starting to move toward true rebuild mode, a ten-year deal would keep Harper around long enough to be a part of any rebuilt team come 2022 or 2023 while Harper is still in his prime.  Even with Harper, I am doubtful that the Giants would be anything better than a .500 team in 2019, so I expect the rebuilding to begin in earnest around the 2019 trade deadline.

I think the Giants will hold onto Buster Posey (and they’re stuck with Evan Longoria), but any of Madison Bumgarner, Brandon Crawford, Brandon Belt or Joe Panik who is playing well in the first half will get traded, unless, of course, they are all playing well and the Giants are in contention.

Harper and Boras have been holding out for at least a $330 million guarantee and it now looks like they are going to get it.  The seven year contract extension with $234 million of new money the Rockies just gave Nolan Arenado, not to mention Manny Machado‘s $300 million ten-year deal with the Padres, suggest strongly that one of the three remaining pursuers will set a new salary guarantee record with Harper.  While teams seem more reticent about signing free agents, the contract extensions of Arenado, Mile Mikolas and Aaron Hicks this past week all suggest that teams will still spend big money to hold onto their best players through their age 34 or 35 seasons.

The Mikolas four-year contract extension is particularly eye-opening, given Mikolas’ short major league track record plus the fact that it reportedly includes a complete no-trade clause in addition to the $68M guarantee.  The Hicks’ contract extension is notable more for the length (seven years) than the amount guaranteed ($70M).  However, because Hicks runs well and has improved dramatically at the plate the last two seasons, it looks like a great risk for the Bombers to take, even if Hicks can’t be expected to stick in center field for more than three or four more seasons.

Panama Wins First Caribbean Series Since 1950

February 21, 2019

Thank goodness for the fact that anything can happen in a short series.  The Toros de Herrera of Panama’s Professional Baseball League (Probeis) won four out of five games, including beating Cuba’s Lenadores de Las Tunas 3-1 in the championship game of the 2019 Caribbean Series.

It was Panama’s first Caribbean Series championship since 1950, and, in fact, Panama’s first appearance in the Caribbean Series since 1960.  It is highly likely that the Probeis champion got to play in this year’s Caribbean Series because the original venue (Venezuela) was cancelled on short notice due to the political crisis there, and the Caribbean Series needed a new place to play, which turned out to be Panama City.

Toros’ infielders Javy Guerra, Allen Cordoba and Elmer Reyes each had seven hits in the series with Guerra and Reyes hitting home runs.  Reyes is a ringer from Nicaragua who played in Mexico’s Winter League (LMP) this off-season.  Guerra and Cordoba are a couple of young Panamanians in the Padres’ system.

Toros’ hurlers Oriel Caicedo, Luis Mateo, Andy Otero and Harold Arauz allowed only two runs (one earned) over a combined 26 innings pitched.  The Dominican Mateo is the non-Panamanian in the group.

One hopes that Panama’s 2019 success will mean that the Panama gets to play in the Caribbean Series for at least the next few years. I wouldn’t mind seeing Nicaragua and Colombia also get a chance to play in the Carribean Series, although would likely require an expansion of the Series’ current one week format by at least two days.

Some Order Has Been Restored to the (Baseball) Universe

February 20, 2019

It’s being reported that Manny Machado and the San Diego Padres have reached agreement on a deal that will last ten years and guarantee Machado $300 million, with an opt-out after the fifth season, the money fairly evenly spread over the ten year term and a limited no trade clause.  It was a long time in coming, but it sure seems in line with the other free agent contracts already signed this off-season.

I was figuring that unless the teams were in fact colluding, Machado would get at a minimum eight years and a $250 million guarantee, because that would a bargain for the age 26 through 33 seasons for a player of Machado’s caliber.  This is, in fact, what the White Sox offered Machado, although the ChiSox offer also included a whopping $100M in performance incentives and additional years.

That Machado got an extra two years and $50M guaranteed over an eight year, $250M deal seems in line with what the best offer would be in light of the tough negotiating teams have been performing this off-season.  Still, until the deal was finally reported with Spring Training already underway, one certainly couldn’t be sure what Machado would finally get.

I agree with Justin Verlander that signing Machado or Bryce Harper to a long-term deal is actually a good move for a rebuilding team like the Padres.  Even if the Friars need another three years to put together a contender, they’ll still have Machado for another five years (barring injury) of peak or close-to-peak performance.

Paying generational players like Machado or Harper even record-setting contracts tends to be a better risk than signing most other free agents, because they reach free agency younger and their peak performance lasts longer.  Of course, there is risk, since ten years is a lot of time for a debilitating injury to occur.

Machado’s offensive numbers are going to drop playing half his games at Petco Park, but the fact that Machado is not a “Johnny Hustle” type who gets too high or too low may actually be a good thing.  I don’t see Machado losing confidence in his abilities just because his offensive numbers drop off a little.

Now we’ll see what Harper gets, most likely from the Phillies.  I’d guess at least $330M guaranteed and possibly as much as $360M guaranteed over 10 to 12 seasons.

Maybe Free Agents Just Aren’t Worth It

February 3, 2019

On February 1st, I was planning to write a post about how strange it is that four of the top five free agents (at least according to mlbtraderumors.com) are still unsigned.  Barry Svrluga of the Washington Post beat me to it.  However, the title of his article got me thinking whether not signing free agents means not trying to win.

Analytics are showing that free agents aren’t worth the money they are getting in terms of actual performance on the free agent contracts they sign and that MLB teams are finally catching up, although it has taken them a long time to do so.

I thought it might be interesting to look at what last year’s top 50 free agents (according to mlbtraderumors.com) did in  2018, the first year of their free agent deals, when everyone expects free agents to be worth the most.  Everyone basically understands that signing a free agent is a win-now strategy and that players are overpaid in the latter years of their free agent deals to provide big value in the first year or two of their contracts.

So what were free agents worth in the first year of the new contracts they signed during the 2017-2018 off-season, which was the off-season when free agent contracts dramatically tightened up in terms of guaranteed seasons?  As it turns out, not what they were paid.

I used the average salary over the years of multi-year contracts, rather than the actual first year salaries, which are in many cases lower, because it was less work to calculate.  It also gives a more accurate value, in a sense, of what the team will end up paying annually for the term of the contract.

By my calculation, teams committed $441.9 million in first year salaries, and got total production value, according to fangraphs.com, of only $356.6 million in return.  Of the 47 free agents I included, only 12 players performed in 2018 at a level greater than their average annual average salary over the lengths of their contracts, while 34 performed worse, 10 of whom cost their new teams money by playing at a level below replacement level.  The 47 players have a remaining 62 seasons on their combined contracts, when as a group they will almost certainly perform at a lower level than they did in 2018, since free agents as a group do not age well at all.

Free agent contracts look like a lottery gamble for teams.  A team might hit it big with the kind of performance J.D. Martinez, Lorenzo Cain, Jhoulys Chacin, Miles Mikolas and Mike Moustakas gave their teams in 2018, but teams were more likely to get the the underwhelming and overpaid performances Yu Darvish, Eric Hosmer, Wade Davis, Zack Cozart and Jay Bruce gave their 2018 teams.

There are a lot of reasons why teams would continue to sign free agents, even if they are overpaid even in their first seasons with their new clubs.  It’s good public relations to sign free agents, particularly if you have lost one or more of your own players to free agency.  The cost in talent, compared to trades, of signing a free agent is very low (although the current collective bargaining rules make it more expensive in terms of talent for the wealthiest, highest spending teams to spend big on free agents, which has always been the driver of the free agent market).  It might be worth overpaying a free agent in order to plug a glaring hole in your line-up.

However, what I take from this information is that it makes little sense to sign a free agent, particularly one in the bottom half of the top 50, unless you are fairly certain one or two performances is all that is separating your team from making or returning to the post-season.  Rebuilding teams shouldn’t be signing free agents until they are truly ready to compete.  Even if you don’t have a replacement level player in your organization at the position you are looking to improve at, a replacement level player can probably be obtained cheaply from another organization, particularly when compared to the financial cost of free agents, even with the sharp tightening in the market the last two off-seasons.

While I still suspect that teams are engaging in some kind of soft collusion — maybe MLB is holding meetings where MLB’s analysts are lecturing teams on the actual value of free agents each November — in-house analytics departments for each team are probably telling teams the one thing they need to do with respect to free agents is sign them for fewer seasons than they did in the past.

mlbtraderumors.com predicted that Bryce Harper and Manny Machado would get respectively 14 and 13 season contracts at $30M per.  The reason they may not yet be signed is that, while teams are willing to pay the $30M per, they aren’t willing to guarantee more than eight or 10 seasons, even for free agents so young and so good.  The only rumors I have heard for either is that the White Sox may have offered Machado somewhere between $175M and $1250M for seven or eight seasons only.

The current collective bargaining agreement terms are devastating the free agent market, because the ten richest teams can’t spend like they once did.  The talent bite that comes from overspending the salary cap for three seasons in a row, in terms of draft picks and international amateur spending, is steep enough that the richest teams are all trying to keep close enough to the cap amount that they can dip under at least once every three seasons in order to avoid the most severe penalties.  It is the richest teams that drive the upper limits of free agent contracts, so the current rules are bound to effect free agent contracts in a big way.

San Francisco Giants Add Lefty Drew Pomeranz

January 23, 2019

The Giants have reportedly reached an agreement with left-handed starter Drew Pomeranz for $1.5M, plus another $3.5M in performance incentives.  If Pomeranz’s arm is healthy, this is a great, low-cost move for the Gints.

Pomeranz was once the 5th overall draft pick in 2010 out of Ol’ Miss, but the Rockies weren’t able to develop him into a major league star.  It is tough developing young pitchers in mile high Denver, and Pomeranz has pitched well when he’s played for teams playing in pitchers’ parks (Oakland, San Diego).  He had a fine year in hit-happy Fenway in 2017, going 17-6 with a 3.32, but pitched badly last season when he was battling injuries.

Pomeranz only recently turned 30, so the Giants could be getting a top starter for a bargain price.  Even if Pomeranz is hurt again, he’s costing the team a very small guarantee by current standards.  Frankly, I’m surprised that Pomeranz couldn’t get a deal promising him a $2M guarantee and $6M in incentives, given his pedrigree, his upside and his 2017 performance.  In fact, I like this signing better than bringing back Derek Holland.

One of the advantages of playing in an extreme pitchers’ or hitters’ park is that if management knows what it is doing, it isn’t hard to identify under-performing but talented players coming from teams playing in parks that don’t suit their skills.  Almost every off-season, the Giants identify and cheaply sign at least one pitcher who then pitches much better than he has in the recent past once his confidence gets buoyed by pitching in the friendly (for pitchers) confines of AT&T (or whatever they are calling it now) Park.  Last year it was Derek Holland; in 2019 it could well be Drew Pomeranz.