Report: Hawks trading Collins to Jazz for Gay, 2nd-round pick

The Atlanta Hawks are nearing a deal to trade big man John Collins to the Utah Jazz in exchange for Rudy Gay and a future second-round pick, sources told ESPN's Adrian Wojnarowski.

Gay exercised his $6.4-million player option for next season, his agent told Wojnarowski, allowing the deal to move forward. That means the deal cannot be finalized until the NBA rolls over into the 2023-24 calendar on July 6.

By offloading Collins into the Jazz's open cap space, the Hawks created a $25.3-million trade exception. They can use the exception to absorb a player's salary within the next year.

Collins averaged 13.1 points in 71 games for Atlanta last season, his lowest scoring output since his rookie season. He also registered career lows in rebounding and 3-point percentage at 6.5 per game and 29.2, respectively.

The 25-year-old penned a five-year, $125-million contract with the Hawks in 2021. He's set to earn $25.3 million this coming season and $26.6 million in 2024-25 before deciding on a $26.6-million player option for 2025-26, the final year of his deal.

Trading away Collins' contract moved the Hawks underneath the $165-million luxury-tax cutoff for next season, according to Wojnarowski. However, the Hawks have reportedly given general manager Landry Fields the green light to move into the luxury tax if needed.

Gay, 36, appeared in 56 games off the bench for the rebuilding Jazz in 2022-23, averaging career lows in scoring (5.2 points per game), rebounds per game (2.9), and field-goal percentage (38%). He ranks fifth among all active players with 1,120 career games played.