Where Are They Now, 2010; Part 7
January 7th, 2010
Gilbert Arenas was suspended indefinitely today, where “indefinitely” is implied to mean “for the rest of the season at least.” I don’t really have an opinion on that, apart from to state the obvious. Which I won’t do. But here’s one thing to note; the financial repercussions of the suspension. Disregarding the possible voiding of the contract for a moment – I’m not a lawyer and won’t profess to understand all the technicalities behind this – the suspension impacts the Wizards’ current salary situation too. As things stand, the Wizards are about $8 million over the luxury tax threshold, and with no obvious means of getting under it. The players they want to dump (Mike James, DeShawn Stevenson) are undumpable, and they have nine players earning $3 million or more, tied with Portland for second in the league (the Knicks have ten). But this suspension gives them a means with which they can get nearer to getting under it. 50% of money not received by players suspended by the league is deducted from the team’s number for tax calculations. If a player loses an even $1 million in salary through suspension, then a team can deduct $500,000 from their luxury tax calculations. So by being suspended, Arenas has inadvertently aided the Wizards in their previously futile quest to dodge the luxury tax. One thing I don’t actually know is whether salary lost due to suspension is calculated based on games or days missed. It doesn’t make a huge amount of difference to the general point though. So far in the season, 71 days have passed (not including today), and the Wizards have played 32 games. Therefore, regardless of whether you use 32/82nds of Gilbert’s $16,192,079 salary ($6,318,860) or 71/170ths ($6,762,574), the fact remains that the suspension will cost Gilbert over […]
2009 NBA Summer League round-up: Chicago Bulls
July 4th, 2009
– James Augustine: Something weird happened to James Augustine last year, something which took me a while to figure out. He was drafted by the Magic in the 2006 Draft, and signed a two-year rookie minimum contract with the team. He stayed with the team for the whole two years, barely playing, and was then tendered a qualifying offer when the two years was up. The second year of his first contract was only 25% guaranteed until July 30th, and the rule with qualifying offers is that they have to be at least the same amount of guaranteed money, with the same guarantee dates, as the final season of the previous contract. So when Orlando tendered him a qualifying offer, Augustine accepted it immediately, and was thus under contract for the 2008/09 season for $972,581 (the amount of the QO = minimum salary + $175,000), of which $243,145 (25%) was guaranteed, with a guarantee date of July 30th 2008. Orlando waived him before that date, meaning that they essentially paid Augustine a quarter of a million dollars to have him under contract for two weeks in mid-July. Way to do that “creative financing” thing that you do. Augustine then went to Spain, where he averaged 7.7 points and 6.1 rebounds in the Spanish league for Gran Canaria. – Tyrell Biggs: I saw a lot of Biggs in Pittsburgh last year, and it’s tough to say what he was good at. He had a decent set shot, but little interior offence, no finesse, and a bad rebounding rate. He was a decent defensive player, fairly aggressive and physical, but he’s also 6’8 and not of NBA size, so his NBA chances don’t much exist beyond this level. However, I wrote all this in a piece last week, and someone responded by […]
