Derek Jeter, Yankees Agree To 3-Year Deal

December 8th, 2010 by Staff

NEW YORK — Derek Jeter is keeping his pinstripes, just like everyone expected all along.

The iconic shortstop and the New York Yankees reached a preliminary agreement Saturday on a $51 million, three-year contract with an $8 million player option for 2014, a person familiar with the negotiations told The Associated Press.

The person spoke Saturday on condition of anonymity because no announcement had been made.

While negotiations moved slowly, there was little doubt that the Yankees captain would remain in the Bronx. Beloved by fans and respected by his peers, Jeter wants to be a Yankee for his entire career in the mold of Lou Gehrig, Joe DiMaggio and Mickey Mantle.

The guaranteed portion of the contract includes a $3 million buyout if the option is declined. If it is exercised, Jeter would earn $56 million over four seasons.

The player option can escalate up to $17 million. The amount depends on a points system. He earns points based on if he finishes anywhere among top six in AL MVP voting and if he wins World Series MVP, league championship series MVP, Gold Glove or Silver Slugger awards. If he earns the maximum, he would get $65 million over the four years.

Jeter has finished in the top six in the MVP voting four times, placing second in 2006. He won the World Series MVP award in 2000 and has five Gold Gloves and four Silver Sluggers.

There is deferred money included, which for the purposes of baseball’s collective bargaining agreement and the luxury tax brings its average annual value to about $16 million annually, just above the $15,775,000 average in the 10-year deal agreed to this week by Colorado’s Troy Tulowitzki.

Coming off a $189 million, 10-year contract, Jeter initially had been offered a $45 million, three-year deal. After a Nov. 8 meeting, talks came to a standstill as the sides expressed frustration with each other. But talks resumed Tuesday with a meeting in Tampa, Fla., and the sides negotiated over the rest of the week until they reached the agreement.


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