The deal is done
Posted July 11th, 2006 by Brian Windhorst
Las Vegas — The Cavs and LeBron James have finished his contract extension talks. LeBron has agreed to a three-year extension with a player option for a fourth year. The Cavs will announce it sometime after midnight tonight. Both Danny Ferry and Leon Rose, James’ agent, were here today at summer league, where they met to get it done.
Neither would talk to me on the record because the moratorium period is still on. I asked Leon if he wanted me to write anything that could somewhat explain to Cavs fans why LeBron didn’t want the extra year and he simply said: "You’ve already written it on your blog."
So, first, thanks for reading, Leon. Second, I guess just read below and some version of that will be explained when LeBron has his press conference officially announcing the deal. I’m not exactly sure when LeBron will put ink to paper, but the press conference will probably be celebratory yet won’t happen in the next few days.
My projections by making an educated guess at next year’s salary cap have the deal worth $43 million over with, with the option year worth about $17 million.
I would strongly encourage fans not to worry too much about four years from now. Everything changes fast in the NBA, there’s no way to predict what the landscape will look like. Four years ago the Cavs were about to embark on a 17-win season and the Miami Heat’s future looked so bleak Pat Riley was about to quit as coach.
James isn’t going anywhere and he’s going to get paid, that is today’s story as it was three years ago when he entered the NBA. Who’s to say that won’t be the story in 2010?
July 11th, 2006 at 3:12 pm
Your my boy, B! I love getting the info days if not weeks in advance by reading you blog! I guess if you put enough theories out there, your bound to get something right somewhere along the line. (Two words - egg drop).
July 11th, 2006 at 3:23 pm
Thanks for the good work, Brian! You always have the best info!
July 11th, 2006 at 4:57 pm
Hey Brian - now that LeBron’s contract is done (thankfully!), what’s next for Ferry? Gooden rumblings? Marcus Banks as a free agent? And did the draft pick from Nigeria make it to play in Vegas? Or is he stuck in customs?
July 11th, 2006 at 8:28 pm
Firstly thanks for being the only responsible Cleveland media member to cover the biggest sports story in town this year. Secondly, why shouldn’t we be upset at this? LeBron is saying he doesn’t want to commit to being in Cleveland for 5 additional years; what else could we have done to make him hasppy? Is he really holding out for 30% of our cap instead of 25%? He couldn’t possible need the money and it’s going to kill our ability to improve the team. I’m pissed at greedy LeBron; at this point he’s not that much better then D-Wade who had no problem committing for 5 more years. Arrogance rich basketball player sticking it to Cleveland.
July 11th, 2006 at 8:53 pm
Wade reportedly is commiting to the same # of years as LB (3 extra with one option year). Are they both greedy? Sure! Do they both want the flexibility of switching teams and the big payoff next time? Looks that way! But are the two any different from one another? No! It could even mean that they would like to have the option to play together on the same team, and who could blame them for that? That team could win 4-5 chamionships in a row. LB’s signing this deal has NOTHING to do with our ability to improve the team. Do you think that we won’t be able to sign anyone because LB’s only committed for the next 4 years? I guess they won’t sign with Miami either. Why in the world are you angry about this? The Cavs have 4 years to win a championship or to get close. LB will have been here 7 years by then. How much longer should he wait? If LB is truly greedy about salary, then he will sign his next extension here in Cleveland and be with us for 7 more years. Do you think having him signed at 30% will affect our chances then?
I wonder if you’ll still be pissed if the Cavs win a title and LB subsequently re-signs.
July 11th, 2006 at 9:07 pm
Again, I’m not saying this isn’t withing his rights, I’m saying this sucks for the Cavs fans. We want someone committed to bringing a championship to town at all costs. Not someone who is putting a gun to the head of the FO and will leave if the pieces don’t fall out exactly right. Him taking 30% of cap instead of 25% gives us 5% less cap in my book; that affects our ability to sign other players.
July 11th, 2006 at 9:32 pm
I just hope and pray that Pinocchio doesn’t speak at that press conference. If Windy gets a seat in the front row, he’s liable to get his eye poked out.
July 11th, 2006 at 9:45 pm
I also would have preferred that LB took the 5 year deal with no option, and promised to be here for 6 years, but if he ends up signing a big deal with the Cavs the next time, then all this worry is for nothing. He’s got a right to make as much $ as he wants, and that’s not going to determine whether the Cavs win a championship, especially over the next 4 years. And when is the last time that we had a player in any Cleveland sport who stuck with the team for his entire career just to land a championship? That’s a different era and it’s gone, sadly. LB could still be that local hero, but you just won’t know it for another 4 years. Not sure if that’s a reason to get angry. Frustrated and impatient? Okay, I’m down with that.
July 12th, 2006 at 5:56 am
The time-frame for the contract is interesting in that it also coincides with the expiration of his Nike contract. Conspiracy people will see this as reason why he might move on (thereby maximizing his endorsement contract, according to this logic).
However, he might also have the leverage at that point to say, “I’ve proved that I don’t need a relocation clause in any endorsement deal I have.” Think about it: Those clauses were very likely inserted in the event that he wasn’t anything close to the mega star he has become. If he has an MVP or two under his belt by the expiration of his contracts, will his Q rating or his marketability really be that diminished? I’d love to hear an ad exec on the topic.
Also, if the Cavs fail to make deep run at the NBA title, won’t most (if not all) of the current team contracts have expired by his walk year? Z might have a year left, but Marshall, Snow, DJones, Newble will all be gone, won’t they? Rebuilding with one or two new major signings in the fold prior to his eligibility for free agency could be a distinct possibility.
Just thinking out loud.
July 12th, 2006 at 5:57 am
That should read, “…will his Q rating or his marketability really be that diminished in Cleveland as opposed to in New York?”
Sorry.
July 12th, 2006 at 7:33 am
i think it behooves us all to remember that if this deal is all about money, which i think it is, then the cavs are still in the driver’s seat, as they, and only they can offer the most years and money. by quite a bit, actually. and as SAS said, when asked about redd leaving to play on a contender, “call me when a nba player leaves more money on the table to go play for a contender!” in other words, it’s all about the benji’s, as it always is. the fact that wade is also going with this deal should actually provide solace to cavs fans, as NO ONE thought wade would leave south beach but wade wants to make more money. simple. just like LBJ…
July 12th, 2006 at 9:07 am
They (and the co-conspirator local media) can spin it any way they please. Unless you’re on drugs or just high on life, we all know what’s really going on here.
With that being said, I must admit that I do love their new buzzword. In 2010, it will give LeBron “flexibility.” Catchy. I wonder if they’ll trademark it, like Pat Riley did with “threepeat.”
July 12th, 2006 at 9:33 am
Dude you are totally on the TV right now. Looking stellar in your read polo. We all know he’s not going to sign the 4th year. Whether or not he comes back … we’ll see.
How much do you think Wade, Mello, and Bron have been talking to each other?
July 12th, 2006 at 9:55 am
Only in Cleveland would fans be freaking and worried about this.
When Wade signs the same deal, is all of Miami going to panic that HE’s leaving in 4 years? Will ESPN spin it (like they did with LBJ) that by only signing for three more years, he clearly wants out of Miami? These deals are just the way of the NBA right now, no more, no less.
Only in the moronic world of sports talk and ESPN, could an athlete signing a new contract with a team be interpreted as a sign that he wants to leave.
July 12th, 2006 at 9:25 pm
ok, tucker, put up or shut up. name me the superstar who turned down more money to go to another team. go on, we’ll be waitng…
oh, but i’m just sure cuz you aren’t on drugs or high on life like the rest of us fools, you’ll educate us all. we anxiously await it. btw, LBJ’s BIG bonus from nike for being LA or NYC (no chicago) is roughly the same as he got for being all-star MVP. it does NOT double. yeah, that’ll *really* make up the difference between the cavs max offer and the knicks (who have zero chance of clearing the books under the cap for LBJ).
July 13th, 2006 at 9:50 am
kj, I will bet you (and anybody else that has the guts and gusto to put their money where their mouth is) that this is the last contract James will sign with the Cavs. Honestly, you’d have to be either unbelievably naive or Stevie Wonder not to be able to connect the gigantic dots. James’ people have done everything short of hanging a neon sign inside the Q.
If you’re so absolutely positive that they have no ulterior motives, then go ahead and name your betting amount, and I will match it. It can be one dollar, it can be thousands. Name your favorite financial institution, and we’ll set up a separate interest-bearing escrow account with them. I am being totally serious about this.
July 13th, 2006 at 12:25 pm
i am really shocked to see you aren’t answering my question, mr. tucker. you know why you can’t answer it? because there is NO EXAMPLE of any one big time free-agent signing for less money. i find it hysterical that you call me naive when i am the one being the most realistic and/or cynical because i say he’ll stay for the MONEY! how is that naive? it would be naive to think he would got to chase a championship in a team sport! look, does the contract he signed give the ADDED benenfit of keeping the pressure on ferry and gilbert to keep the cavs very competitive? sure, it does! but that’s only an added benefit! the main thing is, as always, the chance to make a whole lot more money via the next contract. what part of that don’t YOU get, stevie wonder??
look, you have about zero credibility on this issue, as you swore up and down that L BJ wouldn’t sign THIS extention! but either way, i accept your wager for the symbolic sum of one dollar.
oh, and if you answer this post, please try to actually address the points i brought up, ok? it would make for a better comments section, trust me…
July 13th, 2006 at 12:42 pm
What’s entertaining about this entire discussion (which has been going on for months on this board!) is that now that Alan was wrong about this extension, he wants to try to postpone the question of whether he was wrong for another 4 years. As if we nobody noticed.
Saying “I blew it, but I’m still worried about what will happen in 4 years” is a rational option. But blustering around and saying you’ll lay money on this because gosh darn it, trust me, you’ll be right in 4 years - completely freaking hilarious. Please don’t blow my house down, mr. big bad Tucker.
July 13th, 2006 at 5:08 pm
I would like to bet you $100, Alan. I will send you an email asking how we can facilitate this process, as well as lay out the exact terms.
July 14th, 2006 at 8:37 am
One hundred dollars in four years, Blurrz? I thought Lehigh grads made more than that, but maybe you should save your money for HBO.
July 14th, 2006 at 12:38 pm
I don’t watch HBO, so the money is available.
July 14th, 2006 at 1:23 pm
You’re on, Blurzz. Actually, this should be kind of fun. Finally a guy here who isn’t posting on a fluffy cloud of hot air.
And by the way, kj. I find your last post rather of humorous. Not to mention ironic. It was this very blog’s host who already expressly asserted in print that free agents would now flock to Jamesland for less money for that golden opportunity to play with Mister Three or Four and Out. MTFO for short. In that regard, you make sense, kj. A cream pie in the sky.
And in response to “I’m With KJ,” as well as kj, in point of fact, if you would backtrack my posts, I, in no uncertain terms, agreed with Brian that James would re-up this summer. I felt the Knicks/Nets situations will not be smooth for another four to five years, and because of that, he might as well get his raise now instead of waiting for something that won’t be available in the summer of 2008. I further expressly stated, in no uncertain terms, that I believed that after James’ re-upped this summer, it would be the last contract with the Cavs.
So far, I’m one for one. And only Blurrz here has been man enough to challenge if I will be two for two. What about you? Do you wear pants like Blurrz, or do you wear a dress?
July 14th, 2006 at 2:44 pm
come, one and all! and witness the inevitable desecent into irrationality of one alan tucker! thrill to him not actually addressing the fact that no SUPERSTAR (not 10 year vet or MLE-type; an actual superstar, max-contract kind of player) has EVER signed for less money elsewhere! gasp, as he tries to use a post from a few weeks ago to make us forget that since the dawning of this blog he has written TIME AND TIME AGAIN that LBJ was off to NJ/NYC!
shudder when he tries schoolyard taunts to get me and others here to take his silly bet, even though i offered to bet him the SYMBOLIC sum of one dollar! and finally, turn away in disgust as you watch him grinning and drooling and absolutely making zero sense (seriously, re-read his post and try and make sense of some of those phrases) on anything these days…
July 14th, 2006 at 3:38 pm
I will not listen to anything Alan Tucker says for the next four years, till we see if he’s right about anything. And kj is right about superstars and max contracts. Does this blog have an ignore feature?
July 15th, 2006 at 7:32 am
With all due respect, Alan, your record regarding whether LBJ stays or goes is ambiguous. It’s all fine that you said this in one post (out of the hundreds of times you have posted) that he would stay. You have also had many, many posts in which you were sure that his endorsement contracts meant he wouldn’t stay, and — if I looked back to posts earlier this year — I bet I can find at least once that you also predicted he would leave. I think you want it both ways.
July 15th, 2006 at 1:10 pm
Ambiguous??? About as ambiguous as Brian’s kosher meals on the plane.
Look it up, I’m not going to do it for you. Specifically over the course of the past couple of months. Ambiguous? Please.
And what can’t you understand, kj. I mean, other than English. Yes, I have repeatedly stated that James is off to the Knicks or the Nets. In or about 2011. After Thomas botched huge $ deals before the trade deadline, their cap situation become something that cannot be juggled until after 2008. And the Nets…well, they still aren’t sure when they’ll be in Brooklyn, they’re dragging their feet. So the summer of 2008 became a date without business opportunity to LeBron. Which left him with his best business option, which was to re-up now, then hightail it to either the Knicks or the Nets at the termination of this contract. I don’t think there should be any doubt that that’s now his intent.
kj, perhaps if other people would write in Pig Latin, you’d have a semblance of a grasp of the printed language. Either that, or enroll in a Lehigh course. Unlike you, at least Blurrz has the stones to lay his money on the line. I’m sure they eachta a lassca orfa oolsa ikela ouya.
July 15th, 2006 at 2:05 pm
What’s “oolsa”?
It sure would be nice to read about something other than LeBron’s long-term plans. I can’t wait until Ferry signs David Wesley to a 5-year $30 million contract.
I’m also wondering how Z’s kettlebell training is going this summer.
July 15th, 2006 at 2:15 pm
One more thing, kj, regarding your nonsense about free agents. That is, of course, if you believe what sports agents tell a gullible media, so it should be taken with a grain of salt. You never know if it’s just total BS posturing during negotiations, or if there is some underlying truth to the assertion that somebody is offering more.
In sports agent Barnum & Bailey parlance, it’s called the “hometown discount.” In Ilgauskas’ case, turned out Ferry was indeed bidding against himself, but Ilgauskas’ agent was yipping and yapping about possibly giving Cleveland the “hometown discount.” Where supposedly somebody else could be offering more, but because of some imaginary loyalty to the franchise, Ilgauskas would agree to play for less money than he could otherwise get from a different franchise.
Turned out that Ferry could have shaved millions and years from that idiotic multiyear deal and still re-upped ‘ol Z, but it’s a moot point now.
Happens all the time, that purported “hometown discount,” kj. Recent case in point, Jason Terry. If we are to believe Terry’s agent, other teams had put more money on the table. But they gave the Mavericks the “hometown discount” to re-up.
July 15th, 2006 at 2:24 pm
Sorry, Larry. Unfortunately, Ohio State’s Pig Latin program in the late 70s and early 80s left something to be desired. Twenty hours of Pig Latin, but I can’t recall a damn thing. Not even the Pig Latin translation of “fools.”
Funny you brought it up, I’ve also been wondering about Z’s kettleball training progress. There has been an eerie silence. I suppose no news is good news.
July 15th, 2006 at 3:25 pm
ahh, tucker, you got me! jason terry is a superstar! i am defeated…oh, wait. what’s that? i’ve just been told that jason terry is, in fact, not even an all-star, much less a superstar. oh, darn! and here i thought you had bested me, tucker. heckuva try, though.
actually, let’s look at that terry thing for a little bit for fun. seems tucker was always saying that the cuban-like moves old dannyboy gilbert was trying with making the players feel marvelous with new locker rooms, etc, etc., was nonsense and wouldn’t help sign anyone, blah, blah, blah. but here we have a free agent signing back with the mavs who have all the extras today’s baller wants. coincidence? hmmmm….
and speaking about having it both ways, tucker tells us all why he’s had this whole LBJ thing right for almost TWO whole months, darn it! and if you guys would quit bringing up the past so darn much, he’ll tell ya all about how LBJ is leaving in ‘11!
but let’s get to my favorite part. this quote (oh, and tucker you might try to re-take that typing course you took at tri-c. it should read “became” not “become”): “After Thomas botched huge $ deals before the trade deadline, their cap situation become something that cannot be juggled until after 2008″ hahahahaha! yeah, tucker NO ONE could have anticipated that thomas couldn’t clear the cap room until just before the trade deadline! jesus, do you work for bush administration (”no one could have anticipated planes being flown into buildings; no one could have anticipated the levees being breached.”) or something? hey, tucker, ANYONE with a brain could tell that there was ZERO chance that the NYK could have the cap room and NO team was gonna come along and say, “oh, please, isiah, let us take all your horrible contracts so you can sign LBJ in ‘07 and thus fulfill the conspiracy thought up by the cabal of you and david stern and tucker to get LBJ in his rightful place, NYC!” yeah, you being the nba cap guru you are had it figured out but isiah just couldn’t get it done. foiled ’til ‘11! drat!
ohhh, afraid to take my bet of a dollar, tucker? cuz you keep ignoring it. if you don’t accept it soon, i’m gonna call you a chicken-baby-buttface at recess!
July 15th, 2006 at 8:40 pm
It is not all that uncommon for teams to bail out other teams cap disasters for some unknown reason. Heck, we got rid of Shawn Kemp.
I’ll also say, I don’t think it is fair to say Alan has changed his prediction. I read it all along as “he’ll sign one deal here and be gone” even when it wasn’t always written that clearly…
July 16th, 2006 at 7:34 am
I disagree with him, but Alan has been pretty consistent the last several weeks, stating LeBron will sign this contract then opt to go to New York on the next one. The fact LeBron opted for a shorter contract isn’t damning, but it would seem to support Alan’s argument, too.
Jason Terry doesn’t approach LeBron’s stature, it’s true, but who does? Larry Bird, Magic Johnson, Michael Jordan and Shaq were either in very big basketball markets to start with, or ended up in one at the first opportunity.
Whether another superstar has left money on the table to go to another team is pretty irrelevant, anyway.
Until last week, I couldn’t have named a young superstar who decided not to take the full max contract, either. LeBron has proven to be ahead of the curve in every aspect of his basketball/business career and who knows what he has planned?
The only given is that the Cavs’ odds of retaining him will increase dramatically if they are close to winning a championship and this summer’s wasting away.
July 16th, 2006 at 9:29 am
hi larry,
the beef people on here have with tucker is that he said months ago that LBJ would not re-sign with the cavs. now, in the last month or so, he is saying LBJ will not re-sign in ‘11 and so on and so on…
as for LBJ being ahead of the curve on the 3-year deal, well, actually, duncan signed a similar 3-year deal with san antonio a few years ago then signed a long-term deal later. so, it’s not actually unique.
and as there seems to be some confusion about what constitutes a superstar, let me clarify myself, as i think i have caused some confusion on that point (and for which i apologize). my point is that no player who was offered. or would’ve been offered, a max-type contract has ever turned it down, the most recent example being michael redd. now, mr. redd is not a superstar but was offered superstar money. but my point is the same. no one has ever left that kind of money on the table.
and, honestly, the cavs odds on re-signing LBJ have actually increased because the gap between what they can offer and what another team can offer at the end of his current agreement is actually larger than the gap that exisited if LBJ had gone FA in ‘07.
don’t believe the hype, larry. money talks, tucker walks…
July 16th, 2006 at 10:48 am
did anyone notice that in today’s paper branson wright recommended the cavs consider signing bobby jackson as a free agent? that’s a good idea except it’s been widely reported that he agreed to sign with the hornets!! almost 3 weeks ago, i might add!
and some of you wanna believe him over windhorst on anything?? ha! he has less credibility than tucker does!
July 16th, 2006 at 1:00 pm
KJ,
I guess my main point, which I didn’t make clear at all, is that no one really knows what LeBron has in mind for the long term and I’m not sure he knows either.
The NBA wants to go international, smaller markets like Oklahoma City are becoming more desirable for the league and LeBron’s a unique case as far as talent and marketability are concerned. He might have opportunities down the line that even Jordan didn’t have and there are too many factors to consider to say for sure what will happen.
If I were him I’d take Verajao with me and try to start my own team in Rio de Janiero.
But LeBron’s here for the next few years and will probably stay if the Cavs can win or come close. I’m much more interested in hearing something about Ferry’s thinking this summer than I am in debating Alan’s speculations.
July 16th, 2006 at 3:08 pm
larry, if people on here start acting like you we’re going to be stuck with a well-reasoned, thoughful and respectful discussion of basketball!
oh, the horror! where will tucker take his lunatic rantings and schoolyard taunts? or his “calling out” of real and imagined sportswriters?
won’t you please think of the old fella and please resort to name-calling and dubious assertions next time, ok? have a heart…
(the previous was said in jest and is meant to be taken lightly. thank you.)
July 19th, 2006 at 9:34 am
God, it’s so ridiculous to be talking about 2010 or 2011. What the Cavs need to think about is how to rid themselves of those two anchor chains, Z and Larry Hughes, who demonstrated in the playoffs that they are not exactly the ticket to the next level. This is the big issue now that LBJ is back.