I asked a longtime agent to give me an estimate of what it would require for the Kansas City Royals to sign Eric Hosmer to a 10-year-deal, to lock him down. "I'd say $80 million to $90 million," he said.
Buster Olney in his daily column. Would you sign him?
4 months ago
Jack Marsh
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Comments
10 years for 90 million?
Wow 9 mill a year for Homer sounds like a steal.
by KCTiger on Jan 30, 2012 11:18 AM EST via mobile reply actions
In a heartbeat.
If this is what it takes and it doesn’t happen, DM should be fired.
I'm waiting for my wave of talent to arrive.
by mitchfreakingmaier! on Jan 30, 2012 11:19 AM EST reply actions
Although
he's blocking C-Rob
I'm waiting for my wave of talent to arrive.
by mitchfreakingmaier! on Jan 30, 2012 11:19 AM EST up reply actions
Otherwise he's making...
2012 – $.5M
2013 – $.5M
2014 – $5M
2015 – $10M
2016 – $15M
2017-2021 – $20M per
Total of $131M of above
(I used Prince’s contracts from Cot’s to get a rough idea for above)
2013 would technically be his Arb1 Year
Sporadically musing on the Royals at both Royals Review and Royalscentricity, pop culture at Inconsiderate Prick, SVU at Munch My Benson and on Twitter at Old Man Duggan
by Old Man Duggan on Jan 31, 2012 12:30 AM EST up reply actions
no....he'd only have 1 + years...
super 2 require’s more than 2 but less than 3
Fire Everyone
by billybeingbilly on Jan 31, 2012 12:34 AM EST up reply actions
I was just about to correct myself
Sporadically musing on the Royals at both Royals Review and Royalscentricity, pop culture at Inconsiderate Prick, SVU at Munch My Benson and on Twitter at Old Man Duggan
by Old Man Duggan on Jan 31, 2012 12:40 AM EST up reply actions
That's a helluva check to write to a a guy with less than 1 year of experience
I’d be a lot more comfortable if that 90 million is heavily weighted into 2 or 3 club option years. Something like $5mm signing bonus, $5mm for the first six years, $10mm for the next year, $15mm for the last three (option) years. But now, looking at the per year breakdown, I’d make that deal in a heartbeat.
It's good from the team's perspective though
I’m trying to look at it from Hosmer’s perspective, but I can’t get past the idea that a 22yo would turn down $45mm guaranteed with another $45mm if he plays well.
Maybe I need to look at this from Boras’ perspective, but that just makes me feel like I sold my soul.
I think Hosmer has earned it
Don't you ever play GM- Lee "Touch of Gray" Judge
by tiquanunderwear on Jan 30, 2012 11:35 AM EST reply actions
ack!
I’m gonna be dead by then…
The name of that song played at KC Comets games in the '80's was Giorgio Moroder's "The Chase." Now you know.
Won't happen
When the prophecy of the BFSE is fulfilled and the Royals dominate baseball for the rest of the decade, the next CBA will only allow one mutual option per club per year in a futile attempt to thwart this juggernaut by taking away cagey GM Dayton Moore’s greatest negotiating weapon. Unfortunately for Hosmer, Moore already secretly promised a 2022 mutual option to Jeff Francoeur back in August 2011.
We should probably break this down
Hosmer is under club control for six more years. The first two will be for the league minimum (little less than $500,000), so we are down to 8 years. He will likely qualify for four arbitration years as a Super Two player. If we assume a Justin Morneau type path (mixed results at first but then an MVP-type season just before his Super Two year), Morneau got $4.5 million in his Super Two year, $7.4 million for his second arb year, $10.6 million for his third arb year, and $14 million for his fourth arb year. That adds up to an additional $36.5 million for years three through six. So for years one through six, we would be at ~$37.5 million. Using $85 million (midpoint between $80-$90 million estimate) as the total value, that makes the buyout of his first four free agent years at $47.5 million, or $11.875 million per year. Of course all of this is unadjusted for inflation/time value of money.
That is not much of a discount for guaranteeing a control so early, and I am not sure that the Royals can expect him to turn into Joey Votto. To be safe just in case Hosmer has some injuries or his defense ends up poor, the team would also probably want to assume for planning purposes that for much of the contract, Hosmer may need to DH. With that assumption (-17.5 runs per year for the DH positional adjustment), the team would need to expect Hosmer to be something like a consistent +40 batting runs hitter to break even. That is not completely unreasonable.
I would want to do a better than this quick and dirty analysis, but $85 million for 10 years (or really $84 million for 8 years) is probably in the ballpark for being a fair deal if you have very high confidence in Hosmer.
by Gopherballs on Jan 30, 2012 11:52 AM EST reply actions 3 recs
I always wonder about the collateral damage of contract talks...
what if the Royals went to Hosmer right now and said, “We want you. We want you long-term. We will give you $90 mil for 10 years. Take it or leave it, but if you leave it, it will never be offered again and we will go to arbitration every year.”
Would the Royals be right to do this? I know that would be my approach. I scratch your back, you scratch mine. You deny my offer, fine, but don’t say I didn’t offer it when you tear an ACL or ride the pine because you don’t like the instruction.
I am the one who knocks.
by PhattStairs on Jan 30, 2012 10:02 PM EST up reply actions
It wouldn't be right or smart
You don’t ingratiate yourself to one of (if not the top) young players you’re likely to have for the next 6 years by giving him a take-it-or-leave-it ultimatum after his first season. Either side could change its mind in the years to come, and the circumstances surrounding his performance, health, desire for security vs. a huge payday, etc. could all change. Souring the relationship at such an early stage with heavy-handed and shortsighted business tactics probably isn’t the way to go.
by Sweep_the_Leg on Jan 31, 2012 12:47 AM EST up reply actions
I just wonder how it works...
does GMDM put in feelers for this type of deal? I think it would be hard to offer a guy that money and have him deny it. But hey Its just business
I am the one who knocks.
by PhattStairs on Jan 31, 2012 10:27 AM EST up reply actions
Good question
I wonder how the Longoria and Moore extensions were negotiated. The club was the driving force as I understand it.
I just have a feeling Boras would demand so much to give up any FA years that it would be more than any team, not just the Royals, should pay someone in this situation. I hope I’m wrong and there is a balance point between team risk and Hosmer’s potential haul on the open market.
Per Fangraphs (assuming 5% annual inflation)
Year $/Win Value
2012 5.00
2013 5.25
2014 5.51
2015 5.79
2016 6.08
2017 6.38
If you take that out to 2021:
2018 6.70
2019 7.04
2020 7.39
2021 7.76
Even a 3 WAR player is worth $86.67 million from 2018-2021 alone using that model.
It seems like everyone is certain that Hosmer is going to become a star
Or at least a very good player. I think that 10-year contract would include a lot of risk, and not just injury risk.
You may know me as NYRoyal.
by Scott McKinney on Jan 30, 2012 12:23 PM EST reply actions
I think he will be at least average (i.e. 2 WAR player)
and that the chances of him being better than average are much greater than the chance of him being below average.
First basemen since WW II that have posted a 110 OPS+ or better before the age of 22
Orlando Cepeda
Al Oliver
Jason Thompson
Eddie Murray
Kent Hrbek
John Olerud
Freddie Freeman
Eric Hosmer
Aside from Hosmer and Freeman, those are all HOFers, and aside from maybe Thompson, would be Hall of Very Gooders (Murray and Cepeda are HOFers)
I don’t think you’ll find too many guys that post the numbers Hosmer did his rookie season at that age, and go on to become busts.
Relive Royals History at royalsretro.blogspot.com
by RoyalsRetro on Jan 30, 2012 12:34 PM EST up reply actions
I only had guys that had 500 PAs
That might be selective sampling I thought, so lets lower than to guys that had 300 PAs. You add:
Tony Horton
Keith Hernandez
Will Clark
David Ortiz
Tony Horton
Joe Cunningham
Horton had psychological issues that prematurely ended his career. Cunningham was a one-time All-Star in the 1950s who didn’t age well.
Relive Royals History at royalsretro.blogspot.com
by RoyalsRetro on Jan 30, 2012 12:37 PM EST up reply actions
I think so.
He’s quite the ham.
I'm a 15 year old freshman in high school with a love for all things Royals and Packers.
2012 is the year we shine (hopefully. If not, then it will be 2013).
I should say "all are All-Stars", not HOFers obviously
Relive Royals History at royalsretro.blogspot.com
by RoyalsRetro on Jan 30, 2012 12:39 PM EST up reply actions
Olerud is still available for the rotation.
Too bad the Rockies scooped up Moyer.
by BeauJackson on Jan 30, 2012 12:45 PM EST up reply actions
Will's got a job with the Ministry of Truth
"That fucking fucker of a general swears too fucking much." --Unnamed soldier about Gen. George Patton, 1943
How much of a contract can be incentive based?
Lets say we gave Hosmer $40mm guaranteed over 10 years, but included huge incentives worth up to $10-15mm per year for things like All-Star, playing time, silver slugger, gold glove, MVP voting, batting titles, or milestones like 150 HRs, 2000 hits, etc.
There might be rules against weighting a contract like this, but it seems like that could protect the Royals if Hosmer flopped or got injured. Yet, it’d still guarantee Hosmer lots of money with the possibility for tons more (i.e. $15-$20mm per year) if he turns into a superstar.
Can be award based, but not stat-based
I don’t think they can be that large to be honest, but I don’t know. I don’t know that you’d want to have millions of dollars at stake on the capricious voting of the Gold Glove award.
Relive Royals History at royalsretro.blogspot.com
by RoyalsRetro on Jan 30, 2012 12:39 PM EST up reply actions
I’d only add that they can be stat based if the stats are about playing time (games, PA, ip, etc.).
You may know me as NYRoyal.
by Scott McKinney on Jan 30, 2012 12:45 PM EST up reply actions
Yeah, it's a matter of finding "awards" that actually mirror performance
Gold gloves don’t always mean great defense, but they usually recognize good players, so if Hosmer wins a gold glove, he’s probably doing something to earn an extra $2mm. All-star appearances mean you probably had a good first half, that might be worth $1mm. Silver slugger and MVP voting would probably overlap a lot, but if Hosmer wins the silver slugger at 1B, or puts up numbers like Gordon in 2011, he deserves at least $15mm for the year. Playing time means that you stayed relatively healthy and productive, which is worth something. And I think milestone incentives are allowed; if so, if Hosmer was able to rack up 200 HR or 2000 hits over 10 years in KC, he’d deserve an extra $10mm.
So, it’s easy for me to make this work from KC’s perspective. It’s harder for me to make it work from Hosmer’s perspective, because he might be very good, but never great enough to reach those incentives. I think a creative front office and agent could find some ways to do this though.
when i saw this link....
i thought for sure that jack was going to say he’s friends with dan lozano’s son or something….so disappointed
Fire Everyone
by billybeingbilly on Jan 30, 2012 12:46 PM EST reply actions
Lozano seems like a real family man, too
Making watching baseball as fun as doing your taxes.
My Twitter feed.
Before getting tweaked, read up on regression.
by Matt Klaassen on Jan 30, 2012 7:08 PM EST up reply actions 1 recs
clearly it wouldve been an illegitimate child from
a bender the night before going to church with albert when visiting him in kc
Fire Everyone
by billybeingbilly on Jan 30, 2012 8:18 PM EST up reply actions
And this is all assuming this agent is right about the money
The Royals are dealing with the man that convinced them to give BRUCE CHEN 2 years $9 million. We’re looking at what it would take for Boras to give up what he prizes most – the ability to take his client to the open market and get at much as he can.
If we look at 90 million and say, “Yeah, I think I’d do that,” the number is not high enough.
id go 8yrs/$80million with years 6-7 as club option and year 8 a mutual option
with the salary weighted toward the option years.
by DickHowser4ever on Jan 30, 2012 2:01 PM EST reply actions
Honestly, I'd even it out and do 10yrs/$100m
With years 9-10 as club options.
We should trade for Vance Worley.
you know if we were sticking to the patience thing of the other fanpost...
maybe we should wait until Hosmer hits an April slump and then offer 10 for 70…then again, what if he mashes in April, then you’re screwed
I am the one who knocks.
















