Trade Notes: Magic, Hennigan, Thorn, Bynum
The Magic have taken plenty of flack for the Dwight Howard deal, but it could be the first step in a return to title contention, writes Alex Kennedy of HoopsWorld. He looks at the machinations that GM Rob Hennigan is undertaking, and says the team will have enough room under the cap to offer a maximum contract next summer, and another max deal in 2014. Ken Berger of CBSSports.com tweeted the night of the trade that Orlando could have as much as $20MM available in 2014, which should be enough for one max offer, but not two. Zach Lowe of SI.com isn't sure they'll have enough for any max offer this summer unless they make a few more moves (Twitter links). A lot could happen between now and then, but for the time being, we've got plenty more on the effects of the trade on the first full day of business since it was finalized on Friday:
- In the same piece, Kennedy writes that Lakers GM Mitch Kupchak said negotiating with Hennigan was a challenge because the new Magic GM insisted on exploring every avenue before committing to a deal. “To credit Rob Hennigan, the GM of Orlando Magic, it got to the point for me where it was quite frankly frustrating,” Kupchak said. “But what he was doing was his job, which was to sort out and seek out the best possible deal for the organization.”
- The Magic's offer from the Rockets wasn't as enticing as reports have indicated, Kennedy says. Houston was willing to give up prospects and picks or take back expensive contracts, but not both.
- Brian Schmitz of the Orlando Sentinel says it's clear the Magic didn't receive equal value in return for Howard, but believes the results of several different variables will determine just how the trade will be measured in the long run.
- Sixers president Rod Thorn revealed a few interesting tidbits on 97.5 The Fanatic in Philadelphia, and Brag Gagnon of Sports Radio Interviews has the transcription. Thorn said he was talking to the Magic about Andre Iguodala, but Orlando didn't want to acquire him, and that's when the Nuggets became involved. Thorn was interested in making a move in part because he felt the Sixers had reached their ceiling last year and couldn't achieve more.
- Thorn also spoke about the possibility of signing Andrew Bynum to an extension, saying, “Over the course of the season, if he’s happy and he’s healthy, we’ll certainly do everything we can do re-sign him. And we certainly are in the driver’s seat because we can give him an extra year and obviously more money. But to me, if he’s happy, he’s going to want to sign here. So I think it was a risk, anything you do there’s a risk. But if you’re going to take a risk, always take it on somebody who could be a special player.”
- Bynum is heading to Germany for the same experimental knee procedure that's aided Kobe Bryant, Grant Hill and others, John Mitchell of the Philadelphia Inquirer reports. It's unclear whether the Orthokine/Regenokine treatment will be performed on one knee or both, but Mitchell hears Bynum isn't currently experiencing any knee pain and is undergoing the non-surgical procedure to help ward off injury.
Jazz Tried To Acquire Ryan Anderson
Restricted free agent Ryan Anderson became a Hornet over a month ago, sent to New Orleans by the Magic in a sign-and-trade deal for Gustavo Ayon. Before the two sides completed that trade, however, the Jazz were in talks with the Magic to acquire the sharpshooting Anderson, according to Brian T. Smith of the Salt Lake Tribune.
Smith reports that the Jazz likely would have had to give up Paul Millsap in order to land Anderson, but that Utah eventually backed out of talks for last year's Most Improved Player. The Jazz ultimately acquired another forward in Marvin Williams, and signed an outside shooter in Randy Foye. It's not clear whether the four years and $34MM that Anderson will earn with New Orleans was more or less than he could have received from Utah.
For the Magic, the traded player exception they earned from the Anderson sign-and-trade allowed them to absorb Josh McRoberts' and Christian Eyenga's salaries in last week's Dwight Howard blockbuster, which helped create a massive $17.8MM trade exception in the move. If, rather than Ayon, Orlando had acquired Millsap and his $8.6MM expiring contract for Anderson, it may very well have impacted what the team was willing to give and take in the Howard deal.
Trade Notes: Howard, Sixers, Picks, Iguodala
The four-team Dwight Howard/Andrew Bynum trade continues to have reverberations around the league, as teams and players begin to figure out what happens next. Though it's no surprise, Howard remains unwilling to commit to an extension with the Lakers, tweets Marc Stein of ESPN.com. Stein says Howard wants to see how it goes with L.A. first, and says the Mavericks and Hawks would be fallbacks if Howard doesn't warm to the purple and gold. Here's more on the players and teams involved in the wake of the mega-deal:
- Chris Bernucca of Sheridan Hoops analyzes the Sixers' offseason as the team made a series of moves and signings this summer beyond acquiring Bynum from the Lakers.
- Josh Robbins of the Orlando Sentinel has more on the conditions of the draft picks going from the Lakers and Sixers to the Magic, and our post rounding up the deal has been updated to reflect the latest details.
- Robbins adds, via Twitter, that the Nets were offering three first-round picks in their offer to the Magic last month, instead of four as we heard previously. The picks would likely have been in the high to mid-20s, Robbins says.
Earlier updates:
- Mark Kiszla of the Denver Post asked Andre Iguodala if he was pleased about joining the Nuggets, and Kiszla didn't sense much enthusiasm from Iguodala's remarks. "I'm happy to play basketball," the Team USA swingman said. "I don't care if I was playing in Alaska." Iguodala has an early termination option for 2013/14.
- Bynum's agent David Lee says his client is excited to be close to his native New Jersey, though no talks about an extension with the Sixers have begun, as Yannis Koutroupis of HoopsWorld writes. Koutroupis identifies the Hawks, Mavericks and Rockets as teams that could have the cap space and interest to sign Bynum if he tests free agency next summer.
- Magic officials never filed charges with the league stemming from their suspicion that the Nets had illegal contact with Howard this past December, but the hard feelings proved an obstacle in trade negotiations between the teams, a source told Stefan Bondy of the New York Daily News.
Odds & Ends: CBA, Olympics, Sixers, Heat
As Team USA gets ready for their gold medal match against Spain on Sunday, we take a look around the league to see the latest on what's going on.
- In a string of tweets, ESPN.com's Marc Stein has quotes from Kevin Durant, on the status of Team USA's longtime coach Mike Krzyzewski (Twitter link)—who has confirmed his intention of stepping down—and Jerry Colangelo, on the probability that LeBron James plays in the 2016 Olympics. (Twitter link)
- On the New York Times' NBA Blog, Off the Dribble, Rob Mahoney takes a look at the league's new CBA, and how it's effected large and small market teams.
- CSNPhilly.com's John Finger details how Sixers management landed Andrew Bynum in yesterday's four-team mega deal.
- The Newark Star-Ledger's Dave D'Alessandro says Deron Williams felt all along that the Magic wouldn't trade Dwight Howard to the Nets.
- In a mailbag feature, the South Florida Sun-Sentinel's Ira Winderman discusses whether or not the Heat would have offered Chris Bosh in a Howard trade.
- Did the Magic receive a fair haul in their exchange for Howard? SI.com's Chris Mannix does not think so.
Magic GM Defends Dwight Howard Trade
We've already posted some of the reactions to the Dwight Howard trade from earlier today as well as last night once deal looked like it was official. The overwhelming consensus is that the trade is a coup for the Lakers, very helpful to the Nuggets and 76ers, and an absolute disaster for the Magic. So far, it looks like our readers agree, as only a small percentage of you think that the Magic got the best end of the deal.
Orlando general manager Rob Hennigan, presumably under fire from all angles today, spoke with the press today and offered his defense of the move, as told by Tim Bontemps of the New York Post. Hennigan worked with two very successful organizations in the Spurs and Thunder, which was part of the reason he was brought in to run the show in Orlando. Most of the quotes are expected, but here are some interesting tidbits:
"Our goals remained consistent throughout. We wanted to put ourselves in a position to create some long-term sustainability over time, and doing that with a mixture of young players, young veterans, draft players and some other assets to use to build going forward."
To the second-guessers and the laundry lists of rumored offers that seem like better packages for Howard than the one the Magic came away with, Hennigan said:
"At the end of the day you look at what's available in theory and what's available in reality. Sometimes those two things aren't always the same. We felt with all of the options we did explore, this was the best one for us."
One of those packages was the one offereed by the Rockets, in which Houston was rumored to be willing to deal draft picks and/or young players as well as eat some of Orlando's bad contracts. According to John Denton of OrlandoMagic.com (via Twitter), Hennigan essentially admitted that the offer sheets to Jeremy Lin and Omer Asik "limited some of the avenues" to a completed deal that would have sent Howard to Houston.
Again from Denton, Hennigan offered a rather ominous quote when asked why the Magic weren't angling to receive Andrew Bynum in the deal:
"One thing we always do is our research. We're very comfortable with the research we've done."
Magic Acquire $17.8MM TPE In Howard Deal
Besides landing six players and five draft picks, the Magic also created a sizable traded player exception in today's Dwight Howard trade, according to GM Rob Hennigan. Josh Robbins of the Orlando Sentinel tweets that the trade exception is worth about $17.8MM. Here's how it was presumably created:
- The Magic used a portion of their Brandon Bass trade exception to absorb Maurice Harkless' $1,731,960 salary. There was $2.75MM left on the exception after the Magic used part of it to acquire Gustavo Ayon, so there should be a little over $1MM remaining on it now.
- Using the $4.35MM trade exception they acquired when they sent Ryan Anderson to New Orleans, the Magic were able to absorb Josh McRoberts' $3,135,000 salary along with Christian Eyenga's $1,174,080 salary.
- By packaging two outgoing pieces in Chris Duhon ($3,250,000), and Earl Clark ($1,240,000), the Magic were able to take back up to $6,835,000 in salary (150% of those two players' salaries, plus $100K). That was barely enough room for Al Harrington ($6,687,400).
- The Magic were also eligible to take back up to 150% of Jason Richardson's $5,799,625 salary. Arron Afflalo ($7,750,000) fits into that amount with room to spare.
- That leaves Howard's $19,536,360 as the only remaining outgoing salary, so the Magic have up to one year to take back that amount. They started by absorbing Nikola Vucevic ($1,719,480), leaving a total of $17,816,880 to use before August 10th, 2013.
For a more detailed explanation of how traded player exceptions work, be sure to check out our Hoops Rumors Glossary entry.
Four Teams Finalize Dwight Howard Blockbuster
1:34pm: Ken Berger of CBS Sports has tweeted a number of the details on the traded draft picks in the deal. We've updated the list below to reflect the protection on those picks.
12:19pm: The Magic, Lakers, Nuggets, and 76ers have completed their trade call with the league office, making Dwight Howard a Los Angeles Laker, according to Adrian Wojnarowski of Yahoo! Sports (via Twitter). The Magic officially announced the transaction in a press release this afternoon.
The details of the massive four-team swap can be found in our post from yesterday that tracked updates as they came in. But here's a quick recap of how the deal looks from each team's perspective based on what's been reported so far, with players' 2012/13 salaries in parentheses. If anything changes when the teams make their official announcements, we'll update this post to reflect that.
Orlando Magic
Acquire: Arron Afflalo ($7,750,000), Al Harrington ($6,687,400), Josh McRoberts ($3,135,000), Maurice Harkless ($1,731,960), Nikola Vucevic ($1,719,480), Christian Eyenga ($1,174,080), protected 2014 first-round pick from Nuggets1, protected 2015 first-round pick from Sixers2, protected 2017 first-round pick from Lakers3, Warriors' 2013 second-round pick from Nuggets, conditional 2015 second-round pick from Lakers4
Trade: Dwight Howard ($19,536,360), Jason Richardson ($5,799,625), Chris Duhon ($3,250,000), Earl Clark ($1,240,000)
The Magic also create a trade exception worth about $17.8MM in the deal, as outlined here.
Denver Nuggets
Acquire: Andre Iguodala ($14,968,250)
Trade: Arron Afflalo ($7,750,000), Al Harrington ($6,687,400), protected 2014 first-round pick from Nuggets1, Warriors' 2013 second-round pick
Philadelphia 76ers
Acquire: Andrew Bynum ($16,889,000), Jason Richardson ($5,799,625)
Trade: Andre Iguodala ($14,968,250), Maurice Harkless ($1,731,960), Nikola Vucevic ($1,719,480), protected 2015 first-round pick2
Los Angeles Lakers
Acquire: Dwight Howard ($19,536,360), Chris Duhon ($3,250,000), Earl Clark ($1,240,000)
Trade: Andrew Bynum ($16,889,000), Josh McRoberts ($3,135,000), Christian Eyenga ($1,174,080), protected 2017 first-round pick3, conditional 2015 second-round pick4
1 The lesser of the Nuggets' and Knicks' first-rounders.
2 Top-14 protected in 2015, 2016, top-11 in 2017, top-8 in 2018; if the pick still hasn't been conveyed after four years, the Magic will receive 2018 and 2019 second-rounders instead of a first-rounder. The pick cannot be conveyed until the Sixers meet their draft pick obligations to the Heat, which could delay the Magic from getting a first-round pick until 2017.
3 Top-5 protected in 2017 and 2018, unprotected in 2019. The pick cannot be conveyed until the Lakers meet their draft pick obligations to the Suns, which would prevent the Magic from getting a first-round pick if the Lakers fail to make the playoffs the next three years. If that takes place, the Magic will receive 2017 and 2018 second-rounders instead.
4 Top-40 protected; if the pick isn't conveyed in 2015, the Magic will not receive it.
Bulls Stayed Involved In Howard Trade Talks
While it appears the Magic are dotting the I's and crossing the T's on a blockbuster deal that will send Dwight Howard to the Lakers, there was no shortage of other potential destinations for the star center. According to Nick Friedell of ESPNChicago.com, the Bulls were one darkhorse suitor that stayed active in trade discussions with the Magic up until the end.
Chicago engaged former Magic GM Otis Smith in talks involving Howard, and continued to have dialogue with new GM Rob Hennigan after Orlando made its front office changes, says Friedell. Derrick Rose was, of course, off-limits in trade talks, so any Bulls package would likely have involved some combination of Joakim Noah, Luol Deng, Taj Gibson, Nikola Mirotic, draft picks, and perhaps even Omer Asik, before he signed with the Rockets.
Based on the trade the Magic have agreed to, Chicago's offer, which would have included at least one expensive, long-term deal in Noah or Deng, may not have appealed to the Magic. It's also unclear whether the Bulls would have pulled the trigger on any deal without assurances that Howard would sign long-term, but it sounds as if they were at least thinking about it.
Howard To Lakers, Bynum To 76ers In 4-Team Deal
11:18am: SI.com's Sam Amick tweets that McRoberts will be heading to Orlando in the deal, rather than to Denver. Wherever McRoberts ends up, it seems the Lakers will be shipping him out to make the salary figures work.
10:55am: Coon corrects himself (via Twitter), suggesting that Bynum's and Eyenga's salaries aren't quite enough to absorb Howard's and Duhon's. Here's how it looks from the Lakers' perspective, by my calculations:
- The team's $1,422,207 traded player exception acquired via Walton can absorb Clark's $1.24MM option.
- Bynum's $16,889,000 salary and Eyenga's $1,174,080 total $18,063,080. The Lakers can take back 125% (plus $100K) of that amount: $22,678,850.
- Howard's and Duhon's salaries ($19,536,360 and $3,250,000, respectively) total $22,786,360, just barely too much for the Lakers to absorb. So in order to take on both players, Los Angeles will have to either include another player (perhaps McRoberts or Ebanks) or figure out another way to organize the deal. Assuming, of course, that all the public salary figures for these players are accurate.
We should hear shortly how the Lakers ultimately work things out, since the conference call with the league to finalize the trade is expected to begin momentarily, tweets Ken Berger.
10:26am: Cap expert Larry Coon clarifies (via Twitter) that the trade exception the Lakers acquired when they dealt Luke Walton to the Cavaliers is big enough to absorb Clark's salary, so Los Angeles wouldn't necessarily have to send out any more players in addition to Bynum and Eyenga.
10:08am: The pick heading to the Magic from the Sixers will be lottery-protected for the first two years, top-11 protected in year three, and top-eight protected in year four, tweets Ken Berger of CBSSports.com. Since the Sixers have already dealt their 2013 first-rounder (lottery protected) to Miami, presumably the one going to Orlando would be for 2015, as Sam Amick of SI.com notes. If the Magic don't get a first-rounder from Philadelphia after four years, they'd get two second-round picks instead, tweets Berger.
9:32am: According to Steve Kyler of HoopsWorld, Josh McRoberts may be headed to Denver in the four-way deal. This makes sense, since by my calculations, the Lakers would be unable to take back Howard, Duhon, and Clark without sending out another player in addition to Bynum and Eyenga.
8:49am: The first-rounder heading from the Lakers to Orlando will be the team's 2017 pick, while the first-rounder from Denver will be the lower of the club's two 2014 first-rounders, tweets TNT's David Aldridge. It's still not clear which first-round pick will be coming from the Sixers, but it figures to be 2015's, since their lottery-protected 2013 first-rounder is ticketed for Miami.
8:26am: Duhon is definitely involved in the four-way deal, as he tells Joshua Robbins of the Orlando Sentinel (Twitter link).
FRIDAY, 7:33am: According to Spears, one of the second-rounders heading to the Magic in the trade will be the Warriors' 2013 second-round pick, from the Nuggets (Twitter link). Orlando will receive one more second-rounder, to bring their total haul to five future draft picks, tweets Kennedy.
Additionally, multiple reports indicate that the conference call with the league to confirm the blockbuster deal will happen no later than about noon eastern today.
More Reactions To The 4-Way Howard Blockbuster
On a day when Team USA's semifinal game against Argentina was expected to dominate the headlines, the Olympics have taken a back seat to an epic four-way trade that will see three 2012 All-Stars changing hands. In a deal that's expected to be officially agreed upon later today, the Lakers will acquire Dwight Howard, the Sixers will land Andrew Bynum, and the Nuggets will get Andre Iguodala, while the Magic acquire a package of players and picks. We already examined some of the reactions to the agreement last night, but the links continue to pour in, so let's round up a few more….
- According to Wojnarowski, the Rockets' offer for Howard included recent first-rounders, future lottery and unprotected first-round picks, and the opportunity to move bad contracts and gain cap space (Twitter links). I've maintained for a while that Houston's looked like Orlando's most logical trade partner, and none of the details about the Rockets' offer make me think otherwise.
- In response to John Hollinger's tweet linked below, Brian Schmitz stresses, via Twitter, that the Howard deal ran through Hennigan first, before progressing to Martins and the DeVos family.
Earlier updates:
- ESPN.com's John Hollinger tweets that it was likely Magic CEO Alex Martins, rather than GM Rob Hennigan, that ran the Howard deal.
- In an Insider piece for ESPN.com, Hollinger says he likes the four-way trade for three teams, but really can't understand it from the Magic's perspective.
- Sam Amick of SI.com argues that it's unfair to criticize the Magic for the deal yet, since there's a major "wait-and-see" aspect to their haul.
- With everyone wondering whether the Magic could have acquired more from the Nets a month ago, Adrian Wojnarowski of Yahoo! Sports tweets Brooklyn's final offer for Howard: Brook Lopez, Kris Humphries (on a one-year, $9.6MM guarantee), MarShon Brooks, and four unprotected first-round picks for Howard, Jason Richardson, Chris Duhon, and Earl Clark.
- Bynum had been open to re-signing with the Lakers, but was also very receptive to signing with a team where he could earn more touches, according to Sam Amico of FOX Sports Ohio. Acquiring Bynum and his Bird Rights makes the Sixers the overwhelming favorites to retain him long-term, as I suggested earlier this week.
- The Howard trade is the latest bitter pill for the Mavericks' front office to swallow, writes Jeff Caplan of ESPNDallas.com.
- National NBA fans may consider the Dwightmare to be over, but Brian Schmitz of the Orlando Sentinel says Howard's departure could haunt Magic fans for years.