Tag: contract

Report: Clippers could be ‘calling [Paul George’s] bluff’ in contract talks report,clippers,could,be,calling,paul,george,s,bluff,in,contract,talks,liberty,ballers,front-page,76ers-analysis,76ers-free-agency-rumors-news

On: By: admin


That’s a wrap on the NBA Season, and the dreaded Boston Celtics fans get to party in the streets for the 13th time since 1957.

If the Sixers want to beat a team with as much top-end firepower as the team that Danny Ainge (now with the Jazz, although he did most of the heavy lifting here), Mike Zarren and current President Brad Stevens have built, they’re going to need major reinforcements.

The name at the top of Daryl Morey’s wishlist is Clippers’ star Paul George. PG has a player option for the coming season worth $48.7M.

But we heard reports earlier this season that Steve Ballmer, by far the NBA’s richest owner worth an estimated $129.7B, was hesitant to allow his front office to offer PG more money than Kawhi Leonard on a potential extension.

Leonard, the two-time NBA Finals MVP, is the Clippers best player when healthy. But as Sixers fans know all too well, that “when healthy” distinction is kind of a big asterisk. PG, now 34, isn’t exactly an exemplar of perfect health himself, but he was the safer bet than Leonard to be healthy by playoff time. And he seems like the safer bet for the next three-four seasons as well.

On ESPN’s “Get UP” Monday, insider Brian Windhorst speculated on the latest from Clipperville:

“What is interesting to me is that is that the Clippers are very aware that somebody is going to offer [George] a four-year max contract. Whether that’s the 76ers or the Magic or a team could even trade for him. But there’s another thing with Paul George that I want to point out. He has an option in his contract. It’s known as ‘The Chris Paul Move.’ Where you come to a team and say ‘I’m either going to sign with this team over here, or you’re gonna pick up my option and trade me there.’ So even if you don’t have cap space, a team for example, like the New York Knicks. Okay, if they wanted Paul George they could say ‘okay, you could come to us, we’ll trade for you.’ You don’t have to sign him outright. Clippers know all this is gonna go on. And yet they’re still not making this offer. They’re still not [inaudible] to do this. And so if you get to July 1st, and the Clippers have done this, they’re gonna play hardball, that’s when you know he’s truly gonna be in the market. I suspect the Clippers read, at least on June 17th, is that they’re calling his bluff. They don’t actually think he’s gonna leave his hometown of L.A. to go to Philly or Orlando or some thing like that.”

This stalemate would seem to have begun back in January.

The Clippers essentially drew a line in the sand implying PG wasn’t deserving of what Kawhi was (three years, $152M) received last January, offering him less on an extension. PG wisely scoffed at the insulting, paltry bid. Now that miscalculation may bite them.

If George opts out, he is eligible to sign a four-year deal (the NBA’s “Over 38” rule forbids teams from offering him a fifth year) max deal worth up to roughly $221.1M. Possessing George’s Bird Rights, the Clips can offer the nine-time All-Star 8 percent raises, while all other teams can only offer 5 percent raises.

That means the Sixers can “only” offer George $212.5M over the same deal. Still, it’s only an $8.6M difference.

As one might expect in any ongoing negotiation, the PG-to-Philly barometer has swung a few times lately. ESPN’s Adrian Wojnarowski back in May reported that, “The Clippers are determined to keep Paul George and James Harden in free agency, and the organization will move into the new, state-of-the-art Intuit Dome for the start of next season.”

But Windy is, more recently at least, singing a different tune.

Examining that Chris Paul opt-in-and-trade scenario (the kind Daryl Morey, while in Houston, once famously executed to rescue Chris Paul from Doc Rivers the Clips), with an expanding salary cap, it does seem PG could make more money long-term by opting in.

But he’d have to wait six months, and if any player knows that catastrophic injuries can occur, it’s PG, who broke his leg in multiple places back in 2014 during USA Team play.

If I were deciding between $212M today or waiting I’m not sure I’d want to risk playing from November through January for the additional ~$12M. Additionally, PG could learn the “Carmelo Anthony” lesson, and try to avoid depleting whichever new team he wants to play for of precious draft assets they’d need later to beat the Celtics.

So the best news here is that it appears the Clippers are still playing hardball with George. They’ve done nothing to suggest thus far that they feel he’s worth every penny of a max deal. As stellar as the quintessential triple-threat-3-and-D wing has been, with a new arena set to open, deciding he couldn’t make as much as Leonard, now trying to catch a bluff? It’s all pretty weird. Imagine how Kawhi would feel if they wound up letting him walk for nothing in return?

Is there any chance they’re pulling a bit of a 2023 version of the Morey-with-Harden, and sending these silent signals in hopes he opts in, so that they can make a blockbuster move? Unlike Beard, PG has max offers elsewhere tempting him not to do that.

The less good news for the Sixers here is this idea that PG could ultimately make more money by opting in, which could give him incentive to listen to pitches from contenders without cap space. Yuck.

The Sixers can spend up to $65M in cap. But if other teams can trade for him — with plans to extend him come January for even more than the max he’ll command in July — well, you can see the problem there. Miami? Cleveland? New York?

George, a CAA client shares an agent with Knicks’ star Jalen Brunson. The Knicks have been linked to PG in some reports too.

If PG felt Brunson is a safer bet than Embiid to be healthy come next year’s playoffs… maybe that throws a monkeywrench in the works for Morey — even if things fall apart with PG and the Clips.

But let’s focus on the good news for today. The Clippers appear to think that PG won’t leave, they certainly aren’t rolling out any red carpets like Morey is, and are perhaps “calling a bluff.” That would, I’d argue, mark the second time they’ve insulted him in five months. First, by deciding he’s not worth what Leonard was last January, and again now, knowing that other teams are prepared to drop a full stack, while they quibble over an amount that equates to about 0.17% of Ballmer’s total net worth.

How the Sixers could get creative with Paul Reed’s contract this offseason how,the,sixers,could,get,creative,with,paul,reed,s,contract,this,offseason,liberty,ballers,front-page,76ers-analysis

On: By: admin


Because the Sixers didn’t win a playoff series this year, Paul Reed’s future is now up in the air.

The offer sheet that Reed signed with the Utah Jazz last offseason stipulated that his $7.7 million salary for the 2024-25 season would only become guaranteed if his team advanced to the second round of the playoffs. Instead, the New York Knicks and Joel Embiid’s case of Bell’s palsy helped ensure Reed’s contract would remain non-guaranteed through Jan. 10.

The Sixers could waive Reed this offseason and be left without a dead cap hit, which they’d likely consider if they land a third max-contract player. Cutting him would be their path to still having meaningful cap space, along with the $8.0 million room mid-level exception once they were capped out. But they don’t have a nearby deadline by which they have to make a decision. They can see how the offseason plays out and proceed accordingly.

Since Reed’s full contract is non-guaranteed, he’d count as $0 in outgoing salary in trades unless the Sixers guaranteed some or all of his deal. But as long as they stay under the salary cap after a trade, they don’t need to worry about salary-matching rules. If anything, they could leave him non-guaranteed to sweeten a trade offer, allowing his next team to decide whether to keep him as depth, re-route him or waive him for cap relief.

The Sixers could also manipulate their offseason order of operations to take advantage of Reed’s contract in a creative way. If they keep him on their books and guarantee his full salary, they could flip him to acquire a much higher-paid player even if they’re over the cap at the time.

Under the NBA’s new collective bargaining agreement, trades involving two teams below either apron have looser salary-matching rules than they once did. Teams that send between $7.25 million and $29 million in salary can take that amount of salary back plus $7.5 million. In other words, a team could trade a $7.5 million contract for a $15 million contract, or a $29 million contract for a $36.5 million contract.

With Reed set to earn $7.7 million next season, the Sixers could flip him for a player earning as much as $15.2 million as long as they stay below the first apron after the trade. They would then be hard-capped at the first apron for the remainder of the league year. Depending on how the rest of their offseason shakes out, that could be their best chance to round out their roster and add more depth.

For instance, let’s say they sign Paul George for his full max salary of $49.4 million. They could have as much as $16.7 million in cap space if they waive Reed and Ricky Council IV, trade the No. 16 overall pick, turn down their team option on Jeff Dowtin Jr. and renounce the rights to all of their free agents. They’ll likely wind up having less than that because they keep Reed, don’t trade the pick or re-sign some of their own players.

The Sixers could still have as much as $10.2 million in cap space along with the $8.0 million room MLE with a George max deal, Reed and Joel Embiid’s contracts and Tyrese Maxey’s cap hold on their books. Once they spent that cap space, they could flip Reed for a higher-paid player to upgrade that spot without having the cap space to fill it otherwise. They’d effectively be turning $7.7 million of cap space into $15.2 million, except they could only spend that on trades.

The Sixers would still be slightly out of range salary-wise on Lu Dort ($16.5 million), Deni Avdjia ($15.6 million) and P.J. Washington ($15.5 million) on the off-chance that any of them became available this offseason. However, they could squeeze Dorian Finney-Smith ($14.9 million), Luke Kennard ($14.8 million team option) or Naz Reid ($14.0 million) in with the salary-matching buffer on Reed’s contract. Larry Nance Jr. ($11.2 million), Gabe Vincent ($11.0 million) and Maxi Kleber ($11.0 million) could be slightly less expensive options.

In some respects, the Jazz did the Sixers a favor in the way they structured Reed’s contract. If he had a team or player option instead of a non-guaranteed salary, he’d have his contractual fate determined by late June either way. Instead, the Sixers can keep him on their books heading into July and pivot as needed from there.

If the Sixers land a third max-contract star, it wouldn’t be surprising if they just waive Reed outright. If they snag someone on a slightly smaller deal—Brandon Ingram, Donovan Mitchell or Mikal Bridges, for instance—they might have enough cap space to round out their roster even with Reed’s contract still on their books. From there, they could evaluate their options at backup center without him and explore the trade market for him as well.

There’s no guarantee that the Sixers will waive Reed right as the offseason begins, though. In fact, it would behoove them to maintain their optionality with his contract for as long as possible, unless they needed his $7.7 million of cap space to sign a free agent.

Unless otherwise noted, all stats via NBA.com, PBPStats, Cleaning the Glass or Basketball Reference. All salary information via Spotrac and salary-cap information via RealGM.