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Home Maury Brown Inside the Giants Multi-Year Offer to Lincecum

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Inside the Giants Multi-Year Offer to Lincecum PDF Print E-mail
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Written by Maury Brown   
Thursday, 11 February 2010 15:13

Tim LincecumUPDATE: ESPN's Buster Olney reports that the Giants and Lincecum's camp are far apart and that the sides have not spoken over the last 72 hours and that, at least for the moment, all signs point to the case headed to hearing. Stay tuned if news breaks.

The San Francisco Chronicle is reporting today that the Giants have offered Tim Lincecum a three-year, $37 million offer, that if accepted, would avoid arbitration. Lincecum has an asking figure of $13 million, while the Giants have offered $8 million. Both figures represent record figures for a first-time salary arbitration eligible player.

According to the Chronicle, the offer has annual salaries of $9.5 million, $12.5 million and $15 million, and that the Lincecum camp countered with a proposal north of $40 million.

To place this in perspective, here is some salary arbitration history:

  • The $9.5 million for 2010 would surpass Jonathan Papelbon’s record $6.2 million first-time settlement figure for a pitcher by $3.3 million, however it is $500,000 less than Ryan Howard’s record $10 million award granted him in 2008. Howard won his case with one MVP award. Lincecum has back-to-back Cy Young awards.
  • Lincecum’s 2010 salary would be $150,000 more than the $9.35 million that Papelbon will make this year as a second-year salary arb player, a record for reliever with four years of major league service time.
  • His 2011 salary would be $500,000 less than what he would be awarded if he won his salary arbitration case on Friday
  • The average annual value (AAV) of Lincecum’s contract would be $12,333,333. That is less than the AAV for Felix Hernandez’ five-year, $78 million deal ($15.6 million AAV), and the AAV on Justin Verlander’s five-year, $80 million deal ($16 million).


It’s a tempting offer, but “north of $40 million” seems closer to reality given the strength of Lincecum’s case. Beyond the total dollars, the contract will have to see less backloading and a serious increase upfront to make a statement. At the very least, it will have to surpass Howard’s $10 million record setter.


Inside a Tim Lincecum arbitration hearing - 2/10/10

Salary arbitration: Battle of the midpoint – 1/26/10

Evolution of salary arbitration: an ironic tale – 1/19/10


Maury BrownMaury Brown is the Founder and President of the Business of Sports Network, which includes The Biz of Baseball, The Biz of Football, The Biz of Basketball and The Biz of Hockey. He is available for hire or freelance. Brown's full bio is here. He looks forward to your comments via email and can be contacted through the Business of Sports Network.

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