Updated: Done Deal, Jeter Back For Three

Here's another update from Curry:

Derek Jeter has officially agreed to a three-year contract with the Yankees for between $15 and $17 million a year, according to a person directly involved in the negotiations. The deal includes a fourth-year option that isn't guaranteed. The deal was consummated on Saturday afternoon and is pending a physical.

The fourth year of the deal was important to Jeter, who said in spring training that he wanted to play four or five more seasons. But the Yankees didn’t want to guarantee a fourth year to Jeter, who had the worst season of his career when he batted .270 in 2010 and who will turn 37 years old in June. The sides vowed to be creative in trying to secure a deal, which is why they were finalizing a hybrid option that will include various elements and won’t be fully guaranteed. The sides met deep into the night on Friday and were talking again on Saturday.

Both this and the Yanks deal with Mo are expected to be finalized by the time the Winter Meetings begin on Monday.

On to Cliff Lee.

(original post below)

From Jack Curry:

Derek Jeter will agree to a 3-year contract for roughly $50 million with the Yankees in the next 24 to 48 hours, according to a person who has been briefed on the negotiations. The deal will include a creative fourth-year option, which was the final element that was being discussed on Saturday.

Jeter will make between $15 and $17 million a year for the first three years, which is a modest raise over the 3-year, $45 million offer the Yankees had initially proposed. Since Jeter had been seeking a 4 or 5-year deal for $23 million a year, there was a mammoth gap between the sides. The negotiations warmed and the gulf began to shrink following an impromptu meeting in Tampa last Tuesday.

He also reports that both Jeter and Mariano Rivera agreed to defer money as part of their contracts, and that it was this concessions that helped push the deals along.

Great job by Cashman and the Yankees for standing firm avoiding having to add too much to their original offer. Like I said a week or so ago, the Yankees handled these negotiations very well, even if they were a little too public.