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"Swellopt" Might Explain White Sox Low Offer Reported For Machado
"Swellopt" Might Explain White Sox Low Offer Reported For Machado

"Swellopt" Might Explain White Sox Low Offer Reported For Machado

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Matt Enuco
·
January 18, 2019·3 min read·3.0K
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Frequently Asked Questions

What is a swellopt in baseball contracts?+
A swellopt is a contract mechanism where if a team exercises an option on a player early in the contract, it triggers more guaranteed years and money at the end of the deal. It's similar to what the Yankees used in Zack Britton's contract.
How much did the White Sox reportedly offer Manny Machado?+
The White Sox reportedly offered Manny Machado seven years and $175 million. However, this offer may include a swellopt structure that could make the deal worth more or extend it to eight or nine years.
How would the swellopt work in Machado's potential White Sox contract?+
After the 2021 season (year three), both the White Sox and Machado would have options. If the Sox exercise their option, the deal would add an eighth or ninth year with more money on the backend.
Why might the White Sox offer seem low for Manny Machado?+
The reported $175 million over seven years may appear low because it doesn't account for potential swellopt mechanisms or incentives that could significantly increase the total value. The author believes Machado is worth at least $75 million more over the same duration.
What happens if only Machado opts in but the White Sox don't after year three?+
If the White Sox don't exercise their option but Machado exercises his, the deal would stick to the original seven-year term. Both parties could also opt out and separate entirely.
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Matt Enuco

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