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Pedro Alvarez Agrees To New Deal

1:08pm: Kovacevic has more.  He says talks have begun toward resolving the grievance filed by the players union.  He also indicates Alvarez has yet to take his physical.  Meanwhile the Royals hope this means they can get Eric Hosmer back out on the field soon.

8:42am: Good news for Pirates fans - top draft pick Pedro Alvarez agreed to terms on a new contract with the Pirates.  It's a four-year Major League deal worth $6.355MM, with a couple of option years after that.  The union's grievance may no longer be an issue. 

Dejan Kovacevic says that with interest and inflation Alvarez is getting around $5.67MM (less than the $6MM minor league deal he originally signed). On the other hand, Alvarez will now be added to the 40-man roster. 

On deadline day, Alvarez and other players did not receive big league deals partially because the two parties no longer had time to conduct a physical.  I'm wondering if the Pirates and Alvarez met up and did this recently.  And when did they find the time to do this post-deadline renegotiation?  I'm surprised it was allowed.


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A "play it safe" move. Pirates really wanted that prospect, thought he would improve the team by a magnitude great enough if he does pan out.

I still don't like Alvarez. Sounds like a prima donna. And Scott Boras gets a win, since Alvarez's contract is now greater than that given to Posey.

Pirates would have the #2 overall comp pick, right? Why not s.crew Alvarez and try to draft Strasburg if whoever among Nats/M's/Padres gets the #1 pick doesn't draft him?

But then, this is playing it safe.

The question is how does this affect the deal of Eric Hosmer.

I thought they weren't going to renegotiate.

I was kinda hoping for Boras to get his head handed to him, but now he got what he wanted. Unbelievable.

Also, how would this change the grievance? This contract was still signed after the deadline! They got an extra month to negotiate the contract, so what is different about this than a few minutes after the deadline?

This is garbage.

I think the pirates were stuck, their team is a shade below terrible, fan interest in quite low, and optimism is bleak. If the pirates were in a position like the twins or rays, I think they could say goodbye to boras and alveraz. Sadly, the pirates desperately need alveraz more than he really needs them.

This being said I kinda lost interest in alveraz after his stunt with boras, but at the same time I think this was boras pushing more than alveraz. So Im up for seconds chances with pedro. With pedro, the pirates have a slight optimism for the near future. I really beleive they are only a bat away from being quite scary in two years.

Mcclouth
Mccutheon
Alvarez
Doumit

is a solid young punch, add one more solid hitter in that line up and you got yourself a good chance to win with a couple of solid arms.

Something Profound, the way it works out is Alvarez will ask the union to drop the grievance, which they will do. At that point, the old contract is considered to be ok.

This contract is fine, as once a player is under contract, they are free to negotiate a new contract which extends or replaces an existing one at any point in time. The union will object if that happens with providing some increase in value to the player (see the attempts for Texas to trade A-Rod), but otherwise, it's fine.

The end result here is Boras has set precedent for negotiating past the August 15th deadline. You can bet now that every draft pick of his will be agreeing to their deal as late as they can get away with so they can attempt this stunt again.

Front office stepped up to the plate and delivered. They really had no choice, not "fixing" this situation and getting Alvy signed would ruin the image this new management is trying to portray.

My new least favorite MLB player. Hello, Pedro.

My new least favorite MLB player. Hello, Pedro.

He has to make the majors first.

So, does this actually surpass the Posey bonus as the record bonus? :) If Posey got all the money up front, his $6.2M would be worth more than Alvarez's $6.4M (due to time valye of money, mentioned above by Tim). Certainly Boras will claim that the bonus is larger.

I can't believe they caved in, that is ridiculous. I do have to say, if I was a Pirates fan, I'd be so conflicted. You want the talent, but hate the guy.

"He has to make the majors first."

It's a big league deal. 40 man roster.

So disappointed in the Pirates.

Anyone want to bet that Boras will try this again next year?

I think blaming Alvarez for this situation completely is a bit unfair. I mean yeah he went through with it but most of this was likely the doing of Boras.

And honestly if the Pirates can add some young pitching this team could be quite interesting pretty soon. With McLouth, the LaRoches, Doumit, McCutchen, Alvarez, Tabata, Moss and Neil Walker, they have a lot of very interesting bats in their organization rich now

And the score for those of you watching at home is: Boras 6.355M, Pirates 0.

I can't believe the Bucs caved. I say the league should go and blackball Boras. Stop dealing with the devil, I say.

Look fellas,

I hate Boras as much as the next guy, but we had to sign this kid. Maybe if your squad lost for 16 years you'd see what I was saying.

BuccoNation is right.

If the Pirates lost Alvarez after choosing Moskos over Wieters for financial reasons last year, the Pirates fanbase would riot. That would be two monumental draft mistakes in two years.

I just worry about precedent. I get it. I know that the Bucs really need Alvarez. BUT, I think that is a shortsighted approach to the problem.

Keep your money, get 2 top picks in 6 months, and tell Boras and the Players Union to stuff it. Let Alvarez sit and hope he tears up his knee or ends up signing for way less come the 09 draft.

Management, a big league deal and a spot on the 40 man roster does not make a major league player. His clock don't start till he gets to the big leagues however long that takes.

The fact that a new deal was agreed upon just shows that this wasn't about anything other than Scott's ego and money. Not particularly Pedro's money, but the fact that he would have bragging rights to getting the highest bonus means Boras can continue to use that fact to lure new young players to him. He has done a great disservice to Pedro and while I won't totally discount him, people who chose Boras as an agent are less likely to be given the benefit of the doubt. Is it any wonder that when a player switches from Boras his public perception is favorably affected? Carlos Zambrano comes to my mind as a Cubs fan.

How can this be? The players unions supposedly filed this grievance without getting Alvarez's or Boras's blessing. If they did as reported, the deal getting signed should not matter. Thus it should still be in motion because the rule was still violated, whether or not both sides are happy now or not. Because the way it was presented by Boras, it's out of his hands what the league is doing.

That's why Hosmer was pulled, even though he had a signed contract.

And it's suprising that the union would allow Alvarez to accept less money in present value, I thought they looked down on changing contracts (albeit not signed in this case) where the player ends up with less money, whether literally or in future terms.

Giants - I'm not going to claim to be an expert here, but I think Alvarez will make up the difference in present value because of the new deal being major league instead of minor league.

Meaning that he'll get 400K (major league minimum in 2009) for playing in the minors next year, whereas he would have made peanuts (a couple grade per month). The different is maybe 385K, but let's round down to 350K. Add 350K to the 5.67M and you get slightly more than the 6M of the original deal. The longer he stays in the minors, the more this would benefit him, as he would continue to make the 400K salary, as opposed the few thousand he would be making under a minor league deal.

Of course, if he sticks with the team out of spring training, then he actually does end up with less money than he would have under the original deal.

Also, in the past, the union has taken the stance that they don't represent a player until AFTER he has signed. For this reason, some folks were a bit surprised by the grievance. I saw one article that suggested that the MLB owners could use the union's intervention in this case to show that the union does indeed represent draftees, and then push for a worldwide draft in the next CBA.

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