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Nelson signs with Da Raiders
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<blockquote data-quote="HardRightEdge" data-source="post: 765077"><p>A team does not owe the <strong>player</strong> dead cap money unless it's guaranteed money, which is not the case here.</p><p></p><p>In this case (as with Cobb, Matthews and Bulaga), the dead cap is the balance of the signing bonus from the last contract. That money has <strong>already</strong> been paid to the player.</p><p></p><p>Here's the outcome of my proposed 1 year / $6 million deal replacing Nelson's last year of the current contract:</p><p></p><p>Current Nelson cap hit for 2018: $12.5 million</p><p>Current Nelson dead cap assumed in "cutting" Nelson: $2.3 million</p><p>Cap savings in "cutting" Nelson: $10.2 million</p><p>Cap hit in "resigning" Nelson to a year / $6 million: $6 million</p><p></p><p>Cap Savings: $4.2 million</p><p></p><p>This gets his pay and cap in line with value without assuming the risk of deferring the problem to 2019 with a declining receiver who will be 34 years old at that time.</p><p></p><p>It's funny. When these contracts are written, you'll have people tell you it's all about the guaranteed money and that the last year or two of the contract where the dead cap drops to a manageable level provides an out in the event of player decline. Then that time comes and they want to extend the guy with a renegotiation!</p><p></p><p>Well, I proposed the renegotiation that the original contract contemplated.</p><p></p><p>I'm sorry, but if folks want to say Nelson is worth more than I proposed because of his "mind meld" with Rodgers, that's not how value is set. Perhaps the money should accrue to Rodgers then, not Nelson, because other teams will question his value <strong>to them with their QB. </strong>We talk from time to time about "system QBs" and their performance level tied to the system they are in. If a guy is pegged that way, it diminishes his open market value. Now we hear the argument that Nelson is a "system WR", which I believe is the correct view. That cannot help but diminish his open market value.</p><p></p><p>It's business. These guys are paid tens of millions over a decade, then when their time is running short you cannot pay "thanks for the memoreis" money.</p></blockquote><p></p>
[QUOTE="HardRightEdge, post: 765077"] A team does not owe the [B]player[/B] dead cap money unless it's guaranteed money, which is not the case here. In this case (as with Cobb, Matthews and Bulaga), the dead cap is the balance of the signing bonus from the last contract. That money has [B]already[/B] been paid to the player. Here's the outcome of my proposed 1 year / $6 million deal replacing Nelson's last year of the current contract: Current Nelson cap hit for 2018: $12.5 million Current Nelson dead cap assumed in "cutting" Nelson: $2.3 million Cap savings in "cutting" Nelson: $10.2 million Cap hit in "resigning" Nelson to a year / $6 million: $6 million Cap Savings: $4.2 million This gets his pay and cap in line with value without assuming the risk of deferring the problem to 2019 with a declining receiver who will be 34 years old at that time. It's funny. When these contracts are written, you'll have people tell you it's all about the guaranteed money and that the last year or two of the contract where the dead cap drops to a manageable level provides an out in the event of player decline. Then that time comes and they want to extend the guy with a renegotiation! Well, I proposed the renegotiation that the original contract contemplated. I'm sorry, but if folks want to say Nelson is worth more than I proposed because of his "mind meld" with Rodgers, that's not how value is set. Perhaps the money should accrue to Rodgers then, not Nelson, because other teams will question his value [B]to them with their QB. [/B]We talk from time to time about "system QBs" and their performance level tied to the system they are in. If a guy is pegged that way, it diminishes his open market value. Now we hear the argument that Nelson is a "system WR", which I believe is the correct view. That cannot help but diminish his open market value. It's business. These guys are paid tens of millions over a decade, then when their time is running short you cannot pay "thanks for the memoreis" money. [/QUOTE]
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