Yankees Re-Sign Derek Jeter – 1-year $12 Million Deal

The New York Yankees announced that they have re-signed shortstop Derek Jeter to a one-year deal worth $12 million. The deal helps with the team goal of reaching a payroll under $189 million for 2014.

The Yankees have been laser focused on getting their player payroll below MLB’s Luxury Tax threshold of $189 million. The Yankees had an Opening Day payroll of $230.4 million for the 2013 season, and reaching the $189 million within reach for GM Brain Cashman.

Aside from the Alex Rodriguez suspension, which could wipe $211 million of the books, Robinson Cano, Curtis Granderson, Travis Hafner, Philip Hughes,  Hiroki Kuroda, Boone Logan, Lyle Overbay, Mark Reynolds, Brendan Ryan, and Kevin Youkilis are up for free agency, while Mariano Rivera and Andy Pettitte are retiring.

Jeter had an option year left on his contract for 2014 which would have paid him $9.5 million. If Jeter had declined the option he would have become a free agent and therefore the Yankees would have had to offer him a $14.1 million, one-year qualifying offer, making his new deal a win-win for both sides.

The first ballot Hall of Famer played only 17 games this season and hit .190 in 63 at-bats, while battling injuries, primarily a dislocated ankle he suffered in the 2012 ALCS.

He expects to report to spring training 100% healthy.