If this rumor is true, it means that Daisuke Matsuzaka will be getting considerably less money than Boras’ rumored asking price of $20 million per year. In fact, using the methodology developed by THT’s David Gassko, the present day value of that contract is only $41.5 million, or a measly $6.9 million per season.
In contrast, Gil Meche‘s five-year, $55 million deal signed just days earlier is worth $45.9 million—for one less year. Johan Santana, whose service time situation more closely approximated Matsuzaka’s, signed a four-year, $40 million extension last offseason that’s worth $42.2 million total, or $10.5 million per year.
Despite the rising market for talent and the monster posting fee bid by the Red Sox, their total present day outlay clocks in at just $82.3 million total, or just under $14 million a year; in other words, roughly Barry Zito-money. According to the previously cited article, that total would be roughly half of what Manny Ramirez has made in recent years.
Any way you slice is, if Sports Illustrated rumor is true, the Boston Red Sox have pulled off the negotiating job of the offseason, without even taking into consideration the fact that they won’t have to pay luxury tax on almost half the deal.