MLB Throwback: A-Rod re-signs with Yankees for $275M
Record-breaking contracts have been handed out to Zack Greinke and David Price this fall, but that wouldn't have been possible without the precedent Alex Rodriguez set on Dec. 13, 2007.
On that day, A-Rod finalized a 10-year, $275-million contract extension with the New York Yankees. It was the most lucrative contract in baseball history at the time, breaking his own record from 2000, when he signed a 10-year, $252-million pact with the Texas Rangers.
However, in typical A-Rod fashion, there was huge drama leading up to his renewed deal with the Yankees. Agent Scott Boras announced during the eighth inning of Game 4 of the 2007 World Series between the Boston Red Sox and Colorado Rockies that his client, Rodriguez, would opt out of the final three years of his contract. He cited the uncertain futures of star players Mariano Rivera, Jorge Posada, and Andy Pettitte with the franchise.
The decision meant Rodriguez left $72 million in guaranteed salary on the table, but, more importantly, that the Yankees lost $21.3 million in subsidy from the Rangers, which left the Steinbrenner family in a foul mood.
"No chance," Hank Steinbrenner said about whether A-Rod would re-sign with the Yankees following the announcement, which had enraged major-league executives and officials because it stole attention away from the World Series.
After being told by Boras the Yankees weren't interested in retaining his services, Rodriguez took matters into his own hands by personally reaching out to Steinbrenner.
"If he hung up on me, I wouldn't have been surprised. I thought my career was over with the Yankees," Rodriguez, who had claimed his third American League MVP award for an outstanding 2007 campaign, later revealed. "I made mistakes. I've got to look in the mirror. If I had to do it again, I would've called Hank from Day 1 and negotiated myself."
Two phone calls later, an apologetic A-Rod had a new deal in place, retaining his throne as baseball's highest-paid player. More importantly, he paved the way for the next generation of MLB superstars to land even bigger contracts.
RICHEST CONTRACTS IN MLB HISTORY
| PLAYER | AAV ($M) | YEARS | $(M) |
|---|---|---|---|
| Zack Greinke | 34.4 | 6 | 206 |
| David Price | 31 | 7 | 217 |
| Miguel Cabrera | 31 | 8 | 248 |
| Clayton Kershaw | 30.7 | 7 | 215 |
| Max Scherzer | 30 | 7 | 210 |
| Alex Rodriguez | 27.5 | 10 | 275 |
Rodriguez has earned an incredible $378,285,104 in salary - not including endorsements - throughout his 21-year career, and at the age of 40, will earn another $21 million for his services in 2016.
His contract also includes up to $30 million in marketing bonuses for climbing up the all-time home-run list, which sparked a controversy last season because of his history with performance-enhancing drugs. Rodriguez, who sits fourth on the list with 687 career homers, struck a deal with the Yankees when he tied, and eventually passed, Willie Mays in May. The two parties agreed to forgo the $6-million bonus for his accomplishment, and instead make a joint $3.5-million donation to charity.
A-Rod is now only 27 homers shy of Babe Ruth (714) on the all-time list, so it should be interesting to see the implications of a potential additional bonus if and when the slugger reaches the milestone.