Question on on Seymour Cap Hit (if...)

[Newtonian]

Likely how much of our so-called "ample" cap room is already potentially spoken for by a possible Seymour extension in August, not to mention re-upping Branch before then?

 

[BelichickFan]

Someone will correct my mistakes :

Seymour is due $5M of new money, a $2M salary and $5M roster bonus. So says Miguel. That could all go away and be reduced in a new deal. He does have $2M+ of signing bonus remaining which would be added to his new money. So Seymour could actually help the cap situation if they chose to do that.

Branch, OTOH, only has $1M of new money so a new deal for him would hit us for an extra $1-2M depending how they did the deal.

They could do them both with no net cap effect for this year if that's the route they chose.

 

[Remix 6]

I hope this is how they get it:

Branch $1.94 million up to $2.38 million. Sure hes valuable but Patriots will try to get him a little cheaper and might accept an average of inbetween those for 3-4 year deal with incentives

Seymour will get Hendersons contract basically..likely a 3-5 year deal with his salary coming strongest this year and slowly winding down as contract expires.

 

[Miguel]

Likely how much of our so-called "ample" cap room is already potentially spoken for by a possible Seymour extension in August, not to mention re-upping Branch before then?

If Branch gets the same deal as Givens, it would then eat up $2.4 million of cap space.

 

[Miguel]

It would be real difficult for a Branch deal not to increase his cap hit.

The minimum salary this year for Branch is $585,000. His current salary is $1,045,000, a difference of $460,000.

If we presume that Branch will be getting a five year deal, then the maximum signing bonus that he could get without increasing his cap hit is $2,300,000 or $460,000 X 5.

 

[p8ryts]

That sounds to good to be true

It almost sounds like they could be re-signed and take up less than 10M between them? Still not a little amount but better than I thought.

 

[Miguel]

If Branch gets the same deal as Givens, it would then eat up $2.4 million of cap space.

Correction - $1.6 million of cap space ($8 million signing bonus divided by 5 years)

 

[Pats726]

I wonder if/how they will work this out with both?? I would think this would be a top priority...

 

[PatsFanInVa]

Miguel, I have no idea whether there are those in the FO with this on their minds, but....

if they wanted to save themselves the heartache in the "out" years, could they offer the deal with a roster bonus, not prorate the signing bonus, and basically take the hit for the majority of a 5-year salary right now?

Obviously, it's more likely they're shooting for something bigger than "overall cap management," but it's interesting to know whether that tool works the way I think it does.

PFnV

 

[DaBruinz]

Miguel, I have no idea whether there are those in the FO with this on their minds, but....

if they wanted to save themselves the heartache in the "out" years, could they offer the deal with a roster bonus, not prorate the signing bonus, and basically take the hit for the majority of a 5-year salary right now?

Obviously, it's more likely they're shooting for something bigger than "overall cap management," but it's interesting to know whether that tool works the way I think it does.

PFnV

To answer your question, the Patriots can't pay out the "SALARY" up front. But what the Patriots could do is front-load the contract by lowering the signing bonus and giving Seymour a larger roster bonus, yes.

Regardless of what they do, I believe they are only allowed to amortize the signing bonus for 5 years. So, what the Patriots could do is this:
7 year deal worth 63 million with a 2 tiered signing bonus of 5 million each tier paid out in August of this year and March of next year. They could also add in a 8 million roster bonus this year.

With the minimum salary this year, that would work out to be for 2006:
8 Mill Roster bonus ( the 3 mill he's currently supposed to get and then another 5 from the new deal)
2.394 Mill remaining amortization
606K salary
1 million in new SB Amortization

Total - 12 million. (Difference is about 4.6 million against his current number)

In 2007:
1 Million SB Amortization
1 Million NEW SB Amortization
5 million in salary and incentives

Total Cap hit - 7 Million

In 2008:
2 Million in SB Amortization
9 Million in salary and incentives

Total cap hit - 11 million

In 2009:
2 Million in SB Amortization
9 million Salary and incentives

Total cap hit - 11 million

In 2010:
2 million in SB Amortization
9 million in salary and incentives

Total cap hit - 11 million

in 2011:
1 Million in SB Amortization
8 Million in salary and incentives

Total cap hit - 9 million

in 2012:
No SB amortization
5 mill salary and incentives

Total Cap hit - 5 million

Now, I just threw this together quickly. The amount of "NEW" money in the 1st 3 years is 27.565 million. However, it also gives the Pats some easier outs later in the contract when Seymour is over 30. It also gives the Pats leeway in freeing up money later if they need to.

 

[JJDChE]

Seymour will get Hendersons contract basically..likely a 3-5 year deal with his salary coming strongest this year and slowly winding down as contract expires.

Number one. Henderson signed 6 year deal worth 34.5MM, not 3-5 yrs.

Number two. I doubt Seymour will get anything near Henderson's deal. IMO, Seymour's absolute rock bottom price is 6yr, 45MM. I wouldn't be the least bit surpised to see a 7yr deal (including '06) worth over 60MM. He would get that on the open market, without a doubt. A HoF caliber DE coming into the prime of his career? He's frickin' gold.