It’s a done deal; Derek Jeter will stay with the Yankees.
We reported earlier today that the New York Yankees and Derek Jeter were close to a deal. Now, according to the New York Daily News, pending a physical, a deal is done that guarantees Jeter $48 million over the next three years, with a player option for 2014. The option is worth $8 million with another $9 million in incentives, or Jeter can take a $3 million buyout instead, meaning he's guaranteed a minimum of $51 million if he doesn't exercise the option and $56 million if he does. This contract will carry Jeter through to the age of 39, so there is a great chance he will retire while still in pinstripes.
To get the other $9 million in incentives, Jeter will have to finish in the top six of AL MVP voting, as well as winning the Gold Glove, Silver Slugger, ALCS MVP or World Series MVP. Some of Jeter’s deal will be for deferred money, but at an average annual salary of around $16 million, it makes him the highest-paid shortstop in baseball. After all is said and done, Jeter will be taking a $2 million pay cut, not bad for a player who is 36 and coming off of his worst season ever.
With Jeter signed the Yankees still have more deals to sign. Mariano Rivera is expected to receive a two year, $30 million contract, and then Brian Cashman will continue to pursue Cliff Lee, in what the New York Yankees are terming their top priority for the off season.