Bird Rights For Millsap, Jack To Be Renounced
The Warriors and the Jazz have been at the center of a pair of major deals this afternoon, including agreeing to a trade that will send a handful of draft picks and about $24MM in salaries to Utah. However, as a result of that trade and Golden State's subsequent agreement with Andre Iguodala, two major free agents will almost certainly no longer re-sign with their respective teams.
According to TNT's David Aldridge (via Twitter), the Jazz will need to renounce their Bird rights to Paul Millsap in order to clear the necessary cap room to absorb all the incoming salary. That means that the Jazz could no longer offer Millsap more than the $2.65MM room exception to re-sign in Utah.
Meanwhile, the Warriors find themselves in a similar boat with Jarrett Jack. To create space for Iguodala's salary, Golden State will renounce its Bird rights to Jack, as Marcus Thompson of the Bay Area News Group tweets. Like Millsap, Jack now won't be eligible for more than the $2.65MM room exception if he hopes to re-sign with his former team.
Although it's still technically possible for both players to re-sign with their respective clubs, the odds are strongly in favor of both free agents finding new homes within the next few days or weeks.
Warriors Not Out Of Dwight Howard Sweepstakes
3:40pm: If Howard chooses the Warriors and the Lakers are willing to negotiate, Golden State remains "ready and able" to work out a sign-and-trade, says Ken Berger of CBSSports.com. If Howard elects to sign elsewhere, the Warriors are comfortable with having added Iguodala, according to Berger.
3:20pm: Woj has now backtracked on his earlier report, calling it "premature" to rule out the Warriors on Howard (Twitter link). Golden State certainly has less leverage now, since the team would likely require the Lakers' cooperation on a sign-and-trade, and Houston still looks like the frontrunner for Howard, but the Warriors aren't officially out of the mix.
3:07pm: The Warriors have dropped out of the race for Dwight Howard, according to Adrian Wojnarowski of Yahoo! Sports (via Twitter). While no teams have been informed of Howard's decision yet, Golden State dropping out could clear the way for the All-Star big man to end up in Houston, tweets Wojnarowski.
Even after agreeing to sign Andre Iguodala to a four-year deal, the Warriors still could theoretically acquire Howard via sign-and-trade. However, Howard would need to choose Golden State, and then a deal would require the Lakers' cooperation. With D12 rumored to be leaning toward the Rockets, perhaps the Warriors decided to cut their losses and move forward with Plan B.
Warriors Eyeing Iggy; Talking To Sixers, Cavs, Jazz
As Dwight Howard remains undecided on where he'll sign, the Warriors continue to explore potential salary-dumps, having engaged in talks on complicated deals with the Sixers, Cavaliers, and Jazz, according to Adrian Wojnarowski of Yahoo! Sports (via Twitter).
Ken Berger of CBSSports.com named the Cavs and Jazz, along with the Hawks, as potential trade partners for Golden State earlier today, while a subsequent report suggested the Warriors were talking to Utah about Andrew Bogut. Various outlets have since downplayed any talks involving Bogut, though multiple Bay Area scribes believe the Warriors may just be trying to save face with their incumbent center (Twitter links).
As Berger reported earlier, the Warriors' attempts to dump Richard Jefferson's and Andris Biedrins' contracts aren't necessarily related to the team's pursuit of Howard. Berger noted that Andre Iguodala was another possible target for Golden State, and Wojnarowski backs that up in a tweet of his own.
According to Sam Amick of USA Today (via Twitter), Iguodala would like to join the Warriors and has already had "deep talks" about going to Golden State. However, Amick points out that the Nuggets have "strongly rebuffed" the idea of signing-and-trading Iguodala to the Warriors, so clearing the necessary cap space would be Golden State's only way to sign him. Simply moving Jefferson and Biedrins likely wouldn't create enough room for Iguodala, since the Warriors would still have about $50MM in guaranteed salary on their books even without those two contracts.
Dwight Howard Rumors: Friday
Today is Friday, which means decision day for Dwight Howard may finally be here. Or it may not be. Various reports this week have indicated Howard would like to announce his decision today, but at least as many reports have suggested an announcement may not come until later in the weekend. Considering how indecisive Howard has been in the past, resolution today is far from a sure thing, but we at least seem to be nearing the final stages of a saga that's been playing out for the last couple years.
The big Howard story yesterday had the Warriors exploring the possibility of clearing cap space to sign D12 outright. It certainly wouldn't be easy, and there's no guarantee the big man will choose the Warriors anyway, but here's the latest on Golden State's efforts, and the rest of today's Howard rumors:
- The Warriors, Lakers, and Rockets appear to be the three teams left standing for Howard, according to Sam Amick of USA Today, who says the events of the last 24 hours have sent "strong signs" to the Mavericks and Hawks that they're out of the running. Meanwhile, a source tells Amick that the Warriors have been given indications that the Rockets are the "strong favorite" to land Howard.
- Multiple teams involved in the race for Howard fear that the Rockets will be the winners, tweets Marc Stein of ESPN.com.
Earlier updates:
Odds & Ends: Barnes, Knicks, Mavs, Johnson
As we continue to await resolution on the Dwight Howard sweepstakes, here are a few odds and ends from around the NBA, with a focus on Howard and several other free agents:
- Matt Barnes remains in play for both the Lakers and Clippers for a contract worth around the mini mid-level, tweets Jared Zwerling of ESPNNewYork.com.
- Exploring what the Knicks will do with the rest of their own mini mid-level exception, Zwerling hears that the team is looking for a small forward who is a solid wing defender and can shoot the three. Francisco Garcia, Carlos Delfino, and Dahntay Jones could be potential targets, says Zwerling.
- Tim MacMahon of ESPNDallas.com considers both potential outcomes for the Mavericks in the Howard derby, examining what Dallas will do if Howard signs elsewhere and how the team could add complementary players if Howard commits to the Mavs.
- In an Insider-only piece for ESPN.com, Kevin Pelton attempts to breaks down Howard's chances of winning on the court with each of his five suitors. The Rockets top the list, with the Hawks unexpectedly placing second.
- Don't expect Chauncey Billups to sign with the Pistons this summer, writes Perry A. Farrell of the Detroit Free Press.
- Unrestricted free agent Ivan Johnson has parted ways with longtime agent Larry Williams of Union Sports, tweets Chris Haynes of CSNNW.com. Once Johnson finds new representation, we'll be sure to update the change in our agency database.
Marcus Camby Requests Trade Or Buyout
12:28pm: Kaplan tells Jared Zwerling of ESPNNewYork.com (Twitter links) that he and Camby "haven't demanded anything" from the Raptors, which doesn't contradict Berman's report (linked below).
"We are working collaboratively with the Raptors to end up in a situation that works for everyone," Kaplan said.
12:20pm: The Knicks and Raptors haven't formally completed the deal yet that will send Marcus Camby to the Raptors, but the veteran big man is already requesting to be moved again, according to Marc Berman of the New York Post. Berman reports that Camby has asked the Raptors for a trade or buyout so that he can join a contender.
When the deal between the Knicks and Raptors was agreed upon last weekend, Camby indicated that he planned to explore his options, and at least one report suggested Toronto would be open to the idea of buying him out. Agent Rick Kaplan, who tells Berman his client has no plans to retire, appears optimistic that the two sides will get something done.
"We have a great deal of respect for and faith in the new management of the Raptors," Kaplan said. "So something is likely to work out for all involved."
Camby, who has two years remaining on his deal, is set to earn about $4.38MM next season, but his 2014/15 salary is only partially guaranteed for about $1.03MM. If he were to reach a buyout agreement with the Raptors and hit the free agent market, he'd be ineligible to sign with the Knicks, but could join any other contending team.
Warriors, Jazz Discussing Andrew Bogut
12:02pm: In a follow-up tweet, Stein suggests that perhaps the talks involving Bogut have cooled. According to Stein, the Warriors continue to aggressively explore trade options involving Jefferson and Biedrins, but not Bogut.
That suggests to me that the Warriors are trying to create cap flexibility for a subsequent move while still hanging on to Bogut in case they can't land Howard.
9:49am: The Warriors and Jazz have opened talks on a trade that would send Andrew Bogut to Utah, reports ESPN.com's Marc Stein (via Twitter). According to Stein (via Twitter), the Jazz have expressed the strongest interest in the 28-year-old, due in part to Al Jefferson's departure and Bogut's history at the University of Utah.
Ken Berger of CBSSports.com reported earlier today that the Jazz were one of the teams Golden State had engaged, along with the Hawks and Cavs, in an effort to shed the salaries of Bogut, Richard Jefferson, and Andris Biedrins. Berger's report didn't specify whether the Warriors were discussing all three players with all three teams, or particular players with particular teams, but it seems as if Utah, at least, is a potential destination for Bogut.
Of the three contracts the Warriors are shopping, Bogut's is the most expensive at $14MM, but he's also more productive than Jefferson ($11MM+) and Biedrins ($9MM). While Jefferson and Biedrins would likely need to be attached to multiple draft picks to find a taker, Bogut shouldn't be quite as tricky to move. If they were to renounce their current free agents, the Jazz could create more than $25MM in cap space, so there'd be plenty of room to take on Bogut's salary without sending out any players.
Bogut is coming off a pair of injury-plagued seasons, but was a solid contributor for Golden State in the 2013 postseason, averaging 7.2 PPG and 10.9 RPG, with a .582 FG%.
The Cost Of A Dwight Howard Sign-And-Trade
As Dwight Howard remains holed up in Colorado, weighing his options and preparing to make the biggest decision of his life, recent reports have suggested that the Lakers may be more open to considering a sign-and-trade deal.
The Rockets already have the necessary cap space to sign Howard outright, and the Warriors are trying to figure out a way to create that room as well, but the preferred scenario for both teams would likely be a sign-and-trade. So why wouldn't the Lakers seriously consider that option? Well, they might. But there are a few reasons why it could be a bad idea for the team.
1. The Lakers still believe they can re-sign Howard.
Until Howard makes his decision official, his potential suitors presumably don't want to make any moves that would turn him off or alienate him. Adrian Wojnarowski of Yahoo! Sports tweeted this morning that the Lakers remain "prominent" in Howard's mind, and L.A. still has the advantage of being able to offer him about $30MM more in guaranteed money than any other club.
If and when Howard decides he wants to sign with the Rockets, or the Warriors, or the Mavericks, then the Lakers could consider signing-and-trading him to regain some value. But until then, there's no reason for the Lakers to signal that they're exploring that option, lest they risk pushing Howard away.
2. The Lakers want to have maximum cap flexibility next summer.
As ugly as the Lakers' team salary looks for 2013/14, the books for '14/15 are relatively clean. Only Steve Nash remains under contract beyond next summer, at a salary worth about $9.7MM. That means Los Angeles should be able to create a tremendous amount of cap space during an offseason that could see marquee players like LeBron James, Carmelo Anthony, and others hit the open market.
In a hypothetical sign-and-trade with the Rockets, Houston's primary trade chips for matching Howard's salary are players like Omer Asik and Jeremy Lin. Both guys are solid young pieces, but they also have a combined cap hit of nearly $17MM for 2014/15, which would put a significant dent in the Lakers' future flexibility.
3. Taking players back in a sign-and-trade would be very expensive.
Regardless of where he signs, Howard will be in line for a starting salary of $20MM+ on his new contract, but the Lakers wouldn't necessarily have to take back that amount in a sign-and-trade. Still, they'd have to take on some salary. For instance, if the Warriors aren't able to clear room to sign D12 outright, an offer that includes Andrew Bogut and Klay Thompson or Harrison Barnes seems plausible.
Many pundits have made the case that taking on Bogut's expiring $14MM contract along with Thompson or Barnes, and perhaps a first-round pick, would be a nice haul for the Lakers if Howard doesn't want to stick around. And from a basketball perspective, that's true. From a financial perspective though, there's a case to be made that the Lakers might be better off simply letting Howard walk.
Here's some quick and dirty math on how that hypothetical sign-and-trade with the Warriors would affect the Lakers' tax payments for next season: According to Storyteller's Contracts, L.A. currently has $77,381,035 on its books for 2013/14, not including Robert Sacre's qualifying offer. That figure only accounts for eight players, so the club will be adding more players and more salary no matter what happens with Howard, but for our purposes, let's just look at that $77.38MM figure for now.
Taking into account the CBA's new increasing tax penalties, and assuming a tax threshold of $71.6MM, a team salary of $77,381,035 would result in a tax bill of $8,866,811, for a total payment of about $86.25MM. Now, let's throw in Bogut's and Thompson's salaries of $14,000,000 and $2,317,920 (if the Warriors were to offer Barnes instead of Thompson, that second salary would be even higher). Adding those figures to the previous total brings the overall sum of the team's 10 guaranteed contracts to $93,698,955. The tax bill for that amount? A staggering $52,871,081, for a total payment of about $146.57MM.
Again, there are plenty of moving parts still in play with the Lakers' roster, so it's probably not fair to say that acquiring Bogut and Thompson would immediately cost the team $60MM. But taking on a sizable salary like Bogut's in a sign-and-trade deal would come at a significant price that far exceeds Bogut's already exorbitant $14MM salary.
Would it be worth spending that much money in 2013/14 to add long-term assets like Thompson and a first-round pick? If any team can afford it, the Lakers are probably that team. And L.A. has already shown a willingness to go that deep into the tax to re-sign Howard, so it's not as if the club is entirely opposed to the idea. But Howard has the potential to be a franchise player, whereas Thompson and a future first-rounder would likely just be secondary pieces.
For the Lakers, the decision certainly isn't a no-brainer, and the situation provides a perfect example of how the new CBA doesn't make it easy for a taxpaying team like the Lakers to continue improving its roster.
Atlantic Notes: Copeland, Knicks, Raps, Stevens
Let's round up the latest news, notes, and rumors out of the Atlantic Division….
- Chris Copeland's agent John Spencer isn't ruling out his client returning to the Knicks, but he expects to receive offers starting at higher than $1.75MM. As Marc Berman of the New York Post writes, after committing a portion of their mid-level to Pablo Prigioni, the Knicks only have about $1.75MM left on their MLE. Using that remaining money on a power forward like Elton Brand is more likely than a Copeland reunion, according to Berman.
- Assuming Copeland doesn't take less to remain in New York, the Pacers, Lakers, Jazz, and Nuggets are in play for him, according to Spencer.
- Agent Andy Miller tells Berman that his client, Sebastian Telfair, would "consider the Knicks very strongly." New York is eyeing another point guard and has also been in touch with reps for Earl Watson, Will Bynum, Aaron Brooks, and Devin Harris.
- The second year of the Raptors' agreement with Julyan Stone won't be fully guaranteed, says Doug Smith of the Toronto Star. Smith notes within the same piece that it remains extremely unlikely Toronto uses its amnesty clause next week.
- Celtics GM Danny Ainge had long targeted Brad Stevens as a potential replacement for Doc Rivers, as Baxter Holmes of the Boston Globe writes (subscription required). Ainge himself confirmed at this morning's press conference that Stevens was his first phone call after the Rivers transaction, tweets Sean Deveney of the Sporting News.
Warriors’ Efforts To Clear Cap Not Only Tied To D12
While there's been speculation that the Warriors would only attempt to unload big expiring contracts like Andrew Bogut, Richard Jefferson, and Andris Biedrins if Dwight Howard chooses Golden State, that's not necessarily the case, according to Ken Berger of CBSSports.com. Berger reports that even if Howard commits to sign elsewhere, the Warriors are still interested in trying to clear cap space, perhaps to pursue another impact free agent such as Andre Iguodala.
According to Berger, the Warriors have offered Bogut, Jefferson, and Biedrins to the Hawks, Jazz, and Cavaliers, three of the only NBA teams with enough cap room to absorb one or more of those contracts without sending out salary in return.
Berger writes that Golden State would have to move two of those three players in order to clear enough space to sign Howard outright, though I believe all three would actually have to be dealt. Even if the Warriors were to move the two larger salaries (Bogut and Jefferson), the team would still have about $45MM left on its books, by my estimation. That would rule out a max offer for Howard, but would likely be enough room to squeeze in a competitive offer for a player like Iguodala.
While Bogut has a little value on his own, Jefferson and Biedrins, who are making $11MM+ and $9MM respectively, have significant negative trade value. I'd imagine that any team taking on either of those players would demand multiple draft picks, including at least one first-rounder.