Nene

Hawks Waive Nene

The Hawks have officially requested waivers on Nene, announcing the move in a press release a day after they acquired him from Houston in a four-team, 12-player trade.

Nene, 37, re-signed with the Rockets last summer after averaging 3.6 PPG and 2.9 RPG in 42 games (13.0 MPG) in 2018/19. Although he got a two-year deal from Houston, it was a complicated, incentive-heavy contract that was only guaranteed for about $2.56MM. The terms of the contract, which were designed to make him a trade chip, made it a virtual certainty that he wouldn’t play much, if at all, this season. He has yet to appear in a game.

Unfortunately for the Rockets, the NBA ruled that only the guaranteed portion of Nene’s contract could be counted for salary-matching purposes, reducing his trade value. However, the team still ended up moving him in the sprawling four-way deal that also sent Clint Capela to Atlanta.

Nene would be eligible to sign with any team except the Rockets once he clears waivers and reaches free agency on Saturday. He dealt with an adductor strain earlier in the season, so it’s not clear if he’s healthy enough to contribute at this point.

With Nene off the roster, the Hawks now have an opening on their 15-man squad. They’ll create another one when they officially send Jabari Parker and Alex Len to Sacramento for Dewayne Dedmon. While more deals could be coming for Atlanta, I’d expect the team to use the last spot or two on its roster to audition some players on 10-day contracts going forward.

Wolves, Hawks, Rockets, Nuggets Complete Four-Team Trade

FEBRUARY 5: The trade is now official, with Twitter announcements from the RocketsTimberwolves and Nuggets confirming the deal. Atlanta also formally waived Chandler Parsons to accommodate the trade, as detailed earlier.

FEBRUARY 4: The Timberwolves, Hawks, Rockets, and Nuggets are in agreement on a massive four-team trade, according to ESPN’s Adrian Wojnarowski (Twitter link). Shams Charania of The Athletic first reported (via Twitter) that the four clubs were close to reaching a deal, while Woj says (via Twitter) the players involved are now being informed.

According to Wojnarowski (Twitter link), Charania (Twitter links), Jon Krawczynski of The Athletic (Twitter link), and Jonathan Feigen of The Houston Chronicle (Twitter link), the trade looks like this:

There have been rumors for the last several days suggesting that a trade like this one could be in play. An earlier variation had the Warriors in Denver’s place, with the Wolves pursuing D’Angelo Russell, but Golden State backed off those talks earlier on Tuesday, leaving Minnesota, Houston, and Atlanta to work out a new agreement.

Let’s break down how the deal will impact each team…

Houston Rockets:

Daryl Morey‘s group has long been on the lookout for an upgrade on the wing, and they’ll get their man in Covington, a three-and-D specialist who is on a team-friendly contract that’s worth $11.3MM this season and runs through 2021/22.

The Rockets gave up two valuable assets in Capela and their 2020 first-round pick to bring in Covington, Bell, and a second-round pick. By moving Nene and Green in the deal, the team will also move well below the luxury-tax line, which would be a favorable outcome for ownership — while Tilman Fertitta has claimed to have signed off on the club being a taxpayer, it looks like this could be the second straight season that the Rockets sneak out of the tax at the deadline.

On the other hand, as Wojnarowski points out (via Twitter), the structure of the deal would allow Houston to take back up to another $12MM in salary. So until the trade is made official, there’s a window for the Rockets to potentially expand it even further to include another team and player, assuming they find a suitable target, agree on compensation, and are willing to go back into the tax. That won’t be easy, however.

While Bell could play some minutes at the five, the Rockets will remain on the lookout for a more reliable replacement for Capela, either via a trade or on the buyout market, tweets Jonathan Feigen of The Houston Chronicle. Houston’s go-to lineup will feature P.J. Tucker at center, but the team still wants a more traditional big to match up with star bigs in the playoffs, notes Tim MacMahon of ESPN (via Twitter).

MacMahon also adds (via Twitter) that Green, who is likely out for the season with a broken foot, had the ability to veto his inclusion in this trade, but won’t do so.

The move will reduce the Rockets’ roster count to 13 players on standard contracts, so the team will have two weeks to get back up to the NBA’s required minimum of 14 players.

Denver Nuggets:

The Nuggets were said to be seeking a first-round pick for Beasley and a second-round pick for Hernangomez, their two restricted-free-agents-to-be. They won’t quite meet that asking price, but they’ll at least get the first-rounder they were looking for, acquiring Houston’s 2020 pick in the deal.

In addition to sending out Beasley and Hernangomez, Denver also moved Vanderbilt and will bring back four players: Green, Bates-Diop, Napier, and Vonleh. The team had an open spot on its 15-man roster, so no one will have to be waived, though MacMahon reports (via Twitter) that Green is expected to be cut after the trade is official, once again opening up that last roster spot.

As ESPN’s Adrian Wojnarowski observes (via Twitter), Napier and Vonleh are capable of playing rotation minutes and providing depth off the bench for the Nuggets. Bates-Diop will probably be further down on the depth chart. Napier and Vonleh will be unrestricted free agents at season’s end, while KBD has a non-guaranteed minimum salary for 2020/21.

Having previously traded away their own 2020 first-round selection for Jerami Grant, the Nuggets can get back into this year’s draft with Houston’s first-rounder. Of course, with Wojnarowski suggesting Denver will continue to be active before Thursday’s deadline, that pick could theoretically be flipped in another move.

Atlanta Hawks:

The Hawks have been linked to several centers over the course of the season, reportedly expressing interest in Andre Drummond, Steven Adams, and Dewayne Dedmon, among others. In recent days, the club appeared to be zeroing in on Capela, a big man whose rim-running ability will complement Trae Young on offense and whose rim-protecting ability could help bail out Young on defense.

Atlanta will surrender Turner’s expiring contract, Brooklyn’s lottery-protected 2020 first-round pick, and an extra future second-round pick in order to lock up Capela. The move will give the Hawks some cost certainty in the middle — Capela, who has a $14.9MM cap hit in 2019/20, has three more years and about $51.3MM left on his contract after this season. He won’t be eligible for free agency until the summer of 2023.

Acquiring a center now rather than waiting until the summer and trying to land one in free agency will give the Hawks the opportunity to evaluate how Capela looks next to big man John Collins. A heel injury is currently nagging Capela, but it’s not believed to be an issue that jeopardizes the rest of his season.

A 2017 first-round pick, Collins will be eligible for a rookie scale extension during the 2020 offseason. If he meshes with Capela down the stretch, Atlanta would likely be more willing to invest heavily long-term in Collins, who is expected to seek the max or something close to it.

As ESPN’s Bobby Marks tweets, the Hawks are currently carrying 15 players, so they’ll have to waive or trade someone in order to take back both Capela and Nene for Turner, even if they intend to eventually release Nene.

Minnesota Timberwolves:

Although the Timberwolves probably would have preferred to get the Warriors involved in this deal to acquire Russell, they’ll get a handful of intriguing assets in exchange for Covington and several low-cost role players (Bell, Bates-Diop, Napier, and Vonleh).

Beasley and Hernangomez will both be eligible for restricted free agency this summer, which will give the Wolves the chance to match any offer sheet they sign. Neither player had been great this season in Denver, as a crowded depth chart pushed them out of the rotation at times, but they both had solid seasons in 2018/19.

Beasley averaged 11.3 PPG with a .474/.402/.848 shooting line in 81 games (23.2 MPG) a year ago, while Hernangomez averaged 5.8 PPG and 3.8 RPG on .439/.365/.767 shooting in 70 games (19.4 MPG). The Nuggets explored contract extensions last fall with both players, reportedly offering Beasley $30MM over three years, but they didn’t reach a deal with either one. Now the Wolves will have the opportunity to evaluate them during the season’s final two months and decide whether they’re part of the franchise’s long-term plans.

In addition to acquiring those two Denver players – and a little-used project in Vanderbilt – the Timberwolves take on Turner’s $18.6MM expiring contract, generating some extra cap flexibility for the 2020 offseason by moving off Covington’s guaranteed money. They also secured Brooklyn’s lottery-protected 2020 first-round pick, which could end up at No. 15 or 16 if the Nets hang onto a playoff spot this spring.

This move doesn’t necessarily affect the Wolves’ plans to revisit a Russell trade with the Warriors, though like Allen Crabbe, Turner can’t be aggregated with another player in a deadline deal to match D-Lo’s salary. That Brooklyn first-round pick figures to be one of the assets Minnesota dangles in any offer for Russell.

Like Houston, Minnesota will have two openings on its 15-man roster once this trade is finalized, and will have up to two weeks to get back up to 14 players, the league’s required minimum.

Photos courtesy of USA Today Sports Images.

Latest On Wolves’ Multi-Team D’Angelo Russell Trade Talks

As multiple reports have indicated, the Timberwolves have been making an effort to orchestrate multi-team trade talks involving the Warriors, Rockets, and Hawks that would help them land point guard D’Angelo Russell.

The basic goal of such a four-team deal would be get a center (Clint Capela) to Atlanta, a wing (Robert Covington) to Houston, Russell to Minnesota, and various assets to Golden State. However, according to those previous reports from ESPN’s Adrian Wojnarowski and Kevin O’Connor of The Ringer, Minnesota and Golden State haven’t been able to find common ground on a package for Russell.

The Timberwolves may need to give the Warriors flexibility on which year(s) they’d prefer to get draft picks, league sources tell Wojnarowski.

Multi-team trades aren’t easy to complete, so this mega-trade is certainly no lock to get done. But it also doesn’t appear as if the clubs involved have given up yet. Here are the latest updates on these four-team discussions:

  • Within his report, Wojnarowski suggests that Timberwolves forward Andrew Wiggins would almost certainly have to be included in any trade involving Russell for financial reasons, and our Chris Crouse confirms (via Twitter) that Wiggins has been discussed as part of a potential deal.
  • According to Jabari Young of CNBC (Twitter link), Hawks swingman Evan Turner – who has a pricey expiring contract – and Warriors center Kevon Looney are among the other players whose names have come up as parts of this potential trade.
  • The Hawks, Timberwolves, and Warriors are talking about what draft picks (and possible protections) would be involved in the trade, according to Young (Twitter link). The Rockets aren’t involved in that aspect of the deal and would presumably just receive Covington and a center, Young adds.
  • Jonathan Feigen of The Houston Chronicle (Twitter link) hears that the Rockets like Looney as a potential option to replace Capela in the middle if they can land a three-and-D upgrade such as Covington.
  • According to John Hollinger of The Athletic (Twitter link), a four-team, seven-player trade that includes Wiggins, Russell, Covington, Capela, Looney, Turner, and Nene could get both the Warriors and Rockets out of the tax. Wojnarowksi has suggested that the Warriors are interested in shedding some salary — they’d avoid repeater penalties if they sneak below the tax line this year.

Rockets Not Motivated By Luxury Tax Concerns?

FEBRUARY 4: Contradicting his original report, Young tweets that he’s been told that Fertitta has given Morey the go-ahead to make deadline deals without financial restrictions. The Rockets’ owner isn’t satisfied with the team’s place in the standings so far and wants to upgrade the roster, Young adds.

While that may be true, Houston is close enough to the tax line that it still wouldn’t be a surprise if the club ducks below it in the coming days.

FEBRUARY 3: The Rockets are looking to shave enough salary off their payroll to avoid the luxury tax, Jabari Young of CNBC.com reports.

The Rockets have been actively engaged in trade talks, most notably dangling center Clint Capela, who is in the early stages of a five-year, $90MM contract. Moving Nene, who has a non-guaranteed $10MM salary for next season, would also contribute greatly toward that goal. The Rockets have approximately $139.9MM in contractual obligations and owner Tilman Fertitta wants to get below the $132MM tax line.

Some league executives believes Rockets GM Daryl Morey is being pressured by Fertitta to decrease salary while simultaneously trying to keep the franchise in championship contention, according to Young.

Fertitta has denied in the past that he’s motivated by luxury tax concerns but the team’s moves the past two years have the look of a franchise trying to dodge the tax, Dan Feldman of NBC Sports notes. The way Houston’s 2018 offseason played out, and the curious moves it make prior to last year’s trade deadline, had the appearance of a team with tax concerns, Feldman continues.

Players like Gerald GreenThabo Sefolosha and Tyson Chandler making the veteran’s minimum could be traded and replaced by players making partial-season minimums, Feldman notes. By tossing in assets to move contracts, the Rockets will hinder their chances of upgrading the team, Feldman adds.

Rockets Being Aggressive On Trade Market

It’s never surprising that Rockets general manager Daryl Morey is looking to make a deal, especially around the trade deadline, and Jonathan Feigen of The Houston Chronicle reports that a shortage of assets hasn’t prevented Morey has being as active as ever.

A source tells Feigen that the Rockets are hoping to trade their 2020 first-round pick for a player who can help right away. They haven’t targeted a specific position, but Feigen assumes point guard is off the table with Russell Westbrook and James Harden handling the playmaking duties.

Morey doesn’t seem to mind parting with a first-rounder, even though the team will be short on them in upcoming years. Houston sent first-round picks in 2024 and 2026 to the Thunder in the Westbrook deal, along with the option to switch picks in 2021 and 2025.

Feigen speculates that the team may be more interested in adding someone in the frontcourt rather than at the wing, where Rivers, Eric Gordon and Ben McLemore are all available and Thabo Sefolosha has been seeing an increase in playing time.

In addition to the first-rounder, Houston has Nene‘s contract, along with trade exceptions valued from $1.5MM to $3.6MM, as assets to try to get a deal done. Feigen notes that beyond the Rockets’ core, Austin Rivers and Gerald Green both have restrictions that enable them to veto any trade, while Chris Clemons can’t be moved because he just signed a three-year contract in late December.

Feigen adds that the Rockets also have a history of being aggressive on the buyout market and may have hopes of landing Andre Iguodala if they can’t find a deal they like.

NBA Trade Candidate Watch: Southwest Division

Over the course of the 2019/20 NBA season, up until February’s trade deadline, we’re keeping an eye on potential trade candidates from around the NBA, monitoring their value and exploring the likelihood that they’ll be moved. Each of these looks at possible trade candidates focuses on a specific division, as we zero in on three players from that division.

Although the Spurs don’t typically make splashy in-season trades, the Southwest could still end up being one of the NBA’s busiest divisions in 2019/20 in terms of trade activity. The Rockets and Mavericks are in position to buyers, while the Pelicans and Grizzlies may seek out deals that position them to better build around the top two picks from the 2019 draft.

Let’s focus on three players out of the Southwest who could emerge as trade candidates before this season’s deadline…

Andre Iguodala, G/F
Memphis Grizzlies
$17.19MM cap hit; UFA in 2020

Iguodala is perhaps the most obvious trade candidate in the NBA at the moment. The Grizzlies are so resigned to the fact that the veteran wing has no future in Memphis that they’re not even requiring him to be with the team, having reached an agreement in September allowing him not to report to camp.

While the Grizzlies are holding out hope that a favorable trade emerges for Iguodala, many of his primary suitors don’t have much to offer to match his $17MM+ salary and may rather wait to see if he’s bought out. A recent survey of executives conducted by David Aldridge of The Athletic revealed that most people around the league expect Iguodala to end up with the Lakers, but they have no realistic path to a trade, given the construction of their roster.

It makes sense for the Grizzlies to be patient with this process. Iguodala would fit in well on just about every NBA roster, and more buyers could emerge by January or February, increasing Memphis’ leverage.

Courtney Lee, SG
Dallas Mavericks
$12.76MM cap hit; UFA in 2020

Lee had one of his best seasons as a pro in 2017/18, averaging 12.0 PPG on .454/.406/.919 shooting, but he has been slowed by injuries since then and isn’t currently a fixture in the Mavericks‘ rotation.

Although he doesn’t have positive value, Lee’s expiring contract would be Dallas’ best salary-matching piece if the club goes out in search of an upgrade. The team is well below the tax line, so taking on some extra money in a deal involving Lee wouldn’t be an issue.

By way of example, the Mavs could offer Lee and another asset to the Grizzlies for Iguodala (and perhaps already have). Although there’s a gap between their cap charges, the NBA’s trade rules would allow Dallas to take back up to $17.76MM in exchange for Lee alone.

Nene, C
Houston Rockets
$10MM cap hit; $10MM non-guaranteed cap hit for 2020/21

When the Rockets gave Nene an incentive-heavy contract that was only fully guaranteed for $2.56MM (his minimum salary), the idea was to create a trade chip like the one the Mavericks have with Lee. Because the deal featured $7.44MM in incentives deemed “likely,” Nene’s cap hit is technically $10MM, but as long as he doesn’t play more than nine games, he ultimately won’t count for more than $2.56MM against his team’s cap.

Unfortunately for Daryl Morey and the Rockets’ front office, that plan backfired, as the NBA ruled that only the guaranteed portion of Nene’s contract can be counted for salary-matching purposes. That significantly limits his trade value.

Still, it’s not as if Nene now has no value as a trade chip. On his own, he could bring back a player earning up to about $4.59MM. Paired with a little-used player like Isaiah Hartenstein, the Rockets could acquire a player earning up to approximately $7.07MM. That could still come in handy when the deadline rolls around.

Photo courtesy of USA Today Sports Images.

Rockets Notes: Bennett, Pinckney, Anderson

While outside shooting was always part of Anthony Bennett‘s game, he has spent the past few seasons refining his three-point shot in preparation for his next NBA opportunity. That opportunity has come with the Western Conference contender Houston Rockets.

Bennett will have to wait to showcase the improvements he’s made to his game, however. As Jonathan Feigen of the Houston Chronicle writes, the 26-year-old will begin training camp on the sidelines recovering from left knee tendinitis.

The Rockets currently have just 11 fully guaranteed contracts on their roster, which leaves ample room for a player like Bennett to stick with the squad when the regular season begins. If Bennett’s impact when he returns to health is anything like it was in the G League when he shot 45.3% from beyond the arc last season, there’s a good chance that he does just that.

There’s more out of Houston today:

  • The Rockets came up with a creative way of structuring big man Nene‘s contract to increase his potential trade value but the NBA threw a wrench their plans. According to Jonathan Feigen of the Houston Chronicle, franchise owner Tilman Fertitta respects the league’s decision and doesn’t intend to question it.
  • The Rockets have hired former NBA assistant coach Ed Pinckney as a scout, Mark Berman of Fox 26 tweets.
  • Not only has the offensive system not changed since Ryan Anderson last donned a Rockets jersey, but he still owns the same condo that he used to live in. Jonathan Feigen of the Houston Chronicle writes about Anderson’s smooth transition back to Houston.

Injury Updates: Kuzma, Nene, Crabbe, Hawks

After a report earlier this week indicated that Kyle Kuzma wouldn’t be healthy for the start of the Lakers‘ training camp, the team has confirmed as much, announcing in a press release that Kuzma is rehabbing a stress reaction in his left foot.

According to the Lakers, Kuzma hasn’t been cleared to practice and is scheduled to undergo an MRI next month when the team returns from its trip to China. The second of L.A.’s two international preseason games vs. Brooklyn takes place in Shenzhen on October 12, so Kuzma’s MRI presumably won’t happen until sometime after that contest.

The Lakers provided updates on a couple more players, announcing that rookie Talen Horton-Tucker is receiving treatment for a stress reaction in his right foot and will be a limited participant in camp. Camp invitee Jordan Caroline, meanwhile, is expected to miss 10-12 weeks after undergoing surgery on his left foot earlier this month.

Horton-Tucker has a guaranteed contract and his spot on the Lakers’ roster won’t be affected by his injury, but Caroline is on a non-guaranteed deal and figures to be waived in the coming days or weeks.

Here are a few more injury updates from around the NBA:

  • The Rockets announced today that Nene has re-aggravated a chronic adductor injury and won’t be able to participate in training camp, as David Aldridge of The Athletic relays (via Twitter). Based on the incentives in Nene’s deal, it’s unlikely he’ll play much this season anyway, but health problems would further reduce the likelihood of him seeing regular action.
  • The Hawks issued a series of injury updates on their players, including John Collins (hip strain), Kevin Huerter (knee pain), Alex Len (low back pain; left ankle sprain), and Allen Crabbe (right knee surgery). Collins, Huerter, and Chandler Parsons (load management) are expected to be somewhat limited in training camp, while Crabbe will likely miss all of camp and the preseason. Len’s status remains up in the air.
  • Keith Pompey of Philly.com takes a look at the work Sixers shooting guard Zhaire Smith has put in to get healthy after missing nearly his entire rookie season due to injury and illness.

NBA Ruling On Nene’s Contract Limits His Trade Value

The NBA and the National Basketball Players Association have made a ruling on Nene‘s unusual new contract with the Rockets, according to Shams Charania of The Athletic (Twitter link). As we detailed last week, Nene’s two-year contract has a base value worth the minimum, but features over $7MM annually in likely bonuses that push the value of the deal to $10MM per year.

As Charania explains, Nene’s deal will essentially remain unchanged, but the $7MM+ in likely bonuses will be excluded in the event of a trade. In other words, he’d count for just $2.56MM in both outgoing and incoming salary for matching purposes, rather than being considered a $10MM outgoing piece.

According to Charania (via Twitter), who confirms that the Rockets had discussed a similar deal with Iman Shumpert, Nene will still have the opportunity to earn his bonuses, though the team figures to limit his playing time to avoid paying him significantly more money. In order to receive the full $10MM, Nene must appear in 40 games and his team must compile at least 52 wins.

Word first broke earlier today that the NBA was still weighing how to handle the contract. As we observed at the time,the league has the right to challenge deals that it believes violate the spirit of rules in the Collective Bargaining Agreement, even if those deals are technically legal based on what’s written in the CBA.

It’s a tough turn of events for the Rockets, who appeared to have found a creative way to maximize their flexibility for in-season deals, having generated a $10MM trade chip without being at risk of paying out the full $10MM. As a result of today’s ruling, that won’t be the case after all.

Because he signed a two-year contract, Nene will have a cap charge of $2.56MM rather than the $1.62MM cap hit he would have had if he’d signed a one-year, minimum-salary contract, pushing Houston closer to the tax. On a one-year deal, Nene would’ve had the right to veto trades.

Contract Bonus Notes: Nene, KCP, Randle, Jones

Veteran big man Nene officially signed his new contract with the Rockets back on September 6, but the NBA has yet to formally approve the deal, writes ESPN’s Bobby Marks (Insider link). Sources tell Marks that the league has been discussing internally whether it should disapprove of the incentives in the agreement, which create a $10MM trade chip despite the fact that Nene will likely only be paid about $2.56MM.

The NBA has the right to challenge deals that it believes violate the spirit of rules in the Collective Bargaining Agreement, even if those deals are technically legal based on what’s written in the CBA. While it seems unlikely that Nene’s deal would be nixed, it wouldn’t be surprising if the league looked to adjust the rules related to bonuses and incentives in the future to prevent teams from manipulating a player’s cap hit to such a significant extent.

In the meantime, Nene’s deal is hardly the only one signed this offseason heavy on bonus money. We’ve gone into detail on the incentives included in a handful of other contracts, such as the ones signed by Kyrie Irving and Kevin Durant, but Marks has even more details on bonuses available to players around the NBA this year.

We won’t pass along every single note included in Marks’ article, but here are a few of the noteworthy new bonuses worth watching in 2019/20:

  • Kentavious Caldwell-Pope can earn three separate $350K bonuses if he averages 1.85 assists, 4.0 rebounds, and 1.2 steals per game this season with the Lakers. Caldwell-Pope’s new deal also includes a $163K bonus for being named to either All-Defensive team and a $50K bonus if the Lakers reach the Western Finals.
  • Julius Randle‘s contract with the Knicks includes three separate $900K unlikely bonuses that he could earn if he makes the All-Star team, is named to an All-Defensive team, or makes the playoffs (and appears in at least 65 games).
  • Tyus Jones‘ $9.258MM cap hit with the Grizzlies in 2019/20 includes an $858K bonus that has been deemed likely. Jones will earn the bonus if Memphis wins 33 games. If the rebuilding Grizzlies fall short of that mark, Jones’ cap hit for the season will dip to $8.4MM.
  • Maxi Kleber‘s new contract with the Mavericks features a set of four unlikely bonuses that could be worth up to $475K in total. To earn them all, Kleber must make an All-Defensive team ($150K), make at least 80% of his free throws ($75K), make at least 40% of his three-pointers ($150K), and average more than nine rebounds per 36 minutes ($100K).
  • Again, if you’re an ESPN Insider, be sure to check out Marks’ full story for more details on some of the more unusual incentives around the league.