Blazers Offer Roy Hibbert Max Contract

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BrianFromWA said:
I wouldn't say "less bills"...it's like if you buy a 6-pack on payday, when you have some cash, versus trying to find 10 bucks to spare when you just paid all your bills.

In a season when they won't pay tax, they pay 4M more in salary outlays than expected. In 2 seasons where they will pay tax, they save 2M each. I guess a better way to say it is that it keeps the cash outlay from spiking too high? Keeps it closer to the mean? Less deviation? Any business majors?
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Yes, I'd buy that it might even their cashflow out. But note, they could save the money instead, so they'd have money to pay the larger out-year bills.
An organization as big as an NBA team shouldn't be managing their money like a meth addict.

barfo
 
barfo said:
An organization as big as an NBA team shouldn't be managing their money like a meth addict.
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This. Sure front loading the contract makes it more costly based on the time value of money, but it is a very small difference when your only talking about a 4 year long contract with today's low borrowing rates.

Lets say the Pacers gave him the $58 million deal on standard NBA pay dates. Now if you took the early bonus payments on the front loaded deal and earned interest at 4% how much extra money would he earn? I'd imagine $2 million, maybe? Someone can create a big table in excel if they want I'm done doing that type of crap for the week.

So effectively you could think of the Blazers offer being equal to a $60 million max deal paid on normal NBA pay dates. Sure that is more than the $58 milion, but it is such a tiny difference I don't think it impacts the Pacers decision.
 
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Draco said:
This. Sure front loading the contract makes it more costly based on the time value of money, but it is a very small difference when your only talking about a 4 year long contract with today's low borrowing rates.

Lets say the Pacers gave him the $58 million deal on standard NBA pay dates. Now if you took the early bonus payments on the front loaded deal and earned interest at 4% how much extra money would he earn? I'd imagine $2 million, maybe? Someone can create a big table in excel if they want I'm done doing that type of crap for the week.

So effectively you could think of the Blazers offer being equal to a $60 million max deal paid on normal NBA pay dates. Sure that is more than the $58 milion, but it is such a tiny difference I don't think it impacts the Pacers decision.
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The impact would be the amount they have to come up with immediately. The Pacers owner probably has that on hand but he has never really wanted to pay the luxery tax.
 
David Aldridge ‏@daldridgetnt
Pacers clear a roster spot by opting to renounce their rights to guard A.J. Price, making him an unrestricted free agent, per source.>>>>>>>
 
Fez Hammersticks said:
David Aldridge ‏@daldridgetnt
Pacers clear a roster spot by opting to renounce their rights to guard A.J. Price, making him an unrestricted free agent, per source.>>>>>>>
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WHAT DOES IT MEAN???

[video=youtube;OQSNhk5ICTI]
 
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Making room for OJ Mayo and Chris Kaman?

But our luck it'll mean they are going to try everything to keep Hibbert.

We'll know in the next three days.
 
That we're all going to go through an even creepier version of the "Blair Witch Project" but only Yosemite style with a rainbow?
 
Regardless of what happens to Batum, I'll be excited if we can get Hibbert. He was at the top of my list of realistic free agents this summer... as much as I would have liked to have think of Deron as realistic, it wasn't.
 
It also clears up some money for them to pay Hibbert more (maybe not CAP space, but money that otherwise would be tied up), right?
 
julius said:
It also clears up some money for them to pay Hibbert more (maybe not CAP space, but money that otherwise would be tied up), right?
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Maybe has something to do with clearing money to offer more to Elton Brand? Of course that's probably not it because I am just guessing.
 
John Canzano ‏@JohnCanzanoBFT
Blazers offer to Hibbert is "so front loaded with money" that all are taking this seriously, source said. Pacers can still match.
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More JC

John Canzano ‏@JohnCanzanoBFT
Free agent C Roy Hibbert is in Portland today, per #Blazers source. He's taking physicals and doing medical.
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So... Giving up on Leonard so soon? I mean I can't really blame you after the whole moped crash and all, but still...
 
Mike Wells ‏@MikeWellsNBA
Restricted free agent Roy Hibbert is already in Portland where he'll sign his offer sheet (4 yrs $58 mill) w them at 9 pm PST tomorrow.
 
How will this backfire? We need to give him a physical before he signs his offer sheet.

I don't think we'll be introducing him to the media and showing him off. I don't think this regime would do something like that, especially after the last time.
 
BLAZINGGIANTS said:
How will this backfire? We need to give him a physical before he signs his offer sheet.

I don't think we'll be introducing him to the media and showing him off. I don't think this regime would do something like that, especially after the last time.
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Just bad images of a potential FA being in the city on the day of a Presser, I guess?
 
Not that things can't be done via fax, but it's interesting Hibbert is in Portland for a physical and to sign his max contract in person, while Batum is in Spain right now getting ready to practice. Quite a contrast in priorities IMO. If Batum is at a mandatory practice for team France, then I'll give him a pass. Am I looking at it too closely? Probably...
 
Mediocre Man said:
Just bad images of a potential FA being in the city on the day of a Presser, I guess?
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Well, I think it has more to do with the time and schedule of All Things NBA.... need to introduce the rooks, get them in town for practice and summer league prep, moratorium lifts tomorrow at 9PM Pacific, he needs to come to town for a physical.....
 
Duckhook said:
Not that things can't be done via fax, but it's interesting Hibbert is in Portland for a physical and to sign his max contract in person, while Batum is in Spain right now getting ready to practice. Quite a contrast in priorities IMO. If Batum is at a mandatory practice for team France, then I'll give him a pass. Am I looking at it too closely? Probably...
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Well, if Quick is right (he believes there will never be an official offer sheet to sign), then there's no need for Batum to be in town.
 
Duckhook said:
Not that things can't be done via fax, but it's interesting Hibbert is in Portland for a physical and to sign his max contract in person, while Batum is in Spain right now getting ready to practice. Quite a contrast in priorities IMO. If Batum is at a mandatory practice for team France, then I'll give him a pass. Am I looking at it too closely? Probably...
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Maybe. But I do think it underscores that Hibbert actually wants to be here and Nic's agent (and Nic?) are probably more interested in a leverage play ... or is at least as interested in playing contract games as he is signing a Wolves offer sheet.
 
Mike Wells ‏@MikeWellsNBA

The Pacers are matching Portland's 4-year, $58 million offer to Roy Hibbert, according to a source
 
So do they match right away? or do they hamstring the Blazers and wait til the last possible second.
 
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