Thursday, May 12, 2005

Cost Accounting


When you discuss acquiring a guy like Billy Wagner, a guy with an 8 figure price tag, you have to look at budgets. Clearly, the Cubs don't have to have a budget -- the Trib could afford anything they wanted. But stockholders have a tendancy to whine if you drop $44 million on a 3rd baseman with a balky back while circulation fraud is happening at your newspapers.

Looking to 2006, the Cubs are going to be freeing a ton of money. Here's the key list of expenses that they are incurring in 2005 that will likely be eliminated for 2006:

Moises Alou$2,000,000
Joe Borowski$2,300,000
Jeremy Burnitz$5,000,000
Nomar Garciaparra$8,250,000
Mark Grudzielanek$250,000
Jerry Hairston$1,800,000
Mike Remlinger$3,800,000
Sammy Sosa$16,150,000
Todd Walker$2,500,000
Total$42,050,000

Now, you have to account for certain increases in salary for guys who are already signed. They include:

Derrek Lee$1,000,000
Aramis Ramirez$1,500,000
Kerry Wood$2,500,000
Total$5,000,000

In short, the Cubs will have a net clearing of $37,050,000 in salaries. Now, that's before increases to players like Carlos Zambrano and doesn't include incentive bonuses for players like Mark Prior.

But don't take any crap from any source that tries to suggest that the Cubs budget could not handle a Billy Wagner.

Oh, and they clear another $9 million if Maddux doesn't get to 191 innings this year. Currently, Maddux is on pace to vest his $9 million option for 2006.

Comments: Post a Comment

Subscribe to Post Comments [Atom]





<< Home

This page is powered by Blogger. Isn't yours?

Subscribe to Posts [Atom]