That seems sort of weird. How/why would there be a buyout if Mayo is already in position and being paid? Presumably, Mayo would be handled the same any other fired HC would be handled - he would continue to be paid his salary through the end of the contract even if he is not here anymore. I assume the total value of the deal will be in excess of $10M but spread over 3+ years, with 1 year having already been paid.
Last year, if theoretically Kraft wanted to hire Vrabel instead of Mayo in '24, he would've been facing this math:
- Bill's 2024 owed earnings: $25M
- Mayo's buyout: $10M
- Vrabel's 2024 earnings: ~$15M
- Total HC costs in 2024: $50M
Instead he elected to just go with Mayo (probably ~$5M in 2024) plus Bill, for a total of $30M.
Now, if he waits and does this in 2025 instead, it should look like this:
- Mayo's 2025 owed earnings: ~$5M
- Vrabel's 2025 earnings: ~$15M
- Total HC costs in 2025: $20M
This means he only had to spend $30M in 2024 and now $20M in 2025, as opposed to $50M in 2024 and then $15M in 2025. Spreads out Mayo's cost.