Report: Celtics to guarantee Horford’s $26M contract regardless of Finals result

[Big333223]

Great move by the Celtics. Take that off the table and let Al focus on the finals. He looked excellent tonight.

[keevsnick]

In order to extend Horford and do so that his salary is as small as possible given his value, I believe a renegotiate and extend could happen after June 30th of the year. In that renegotiation, if Horford is due $26.5 million and that renegotiation decreases the $26.5 number by almost nothing, then the max decrease in that first extended year can't be more than 40%, or a salary that first year of $15.9 million. Then it's 8% decrease each year after that. If they extend three years it's

2022-23 next year: $26.5 million
2023-24 1st year: $15.9 million
2024-25 2nd year: $14.628 million
2025-26 3rd year: $ 13.356 million.

But if the Celtics decide not to guarantee to $27.5 and they lose the Finals, a renegotiate and extend at $19.5 million is way more palatable to the team

2022-23 next year: $19.5 million
2023-24 1st year: $11.7 million
2024-25 2nd year: $10.764 million
2025-26 3rd year: $ 9.858 million.

Maybe they throw in a no trade clause for the second option, if it is even available.

Best case is probably just guarantee the $26.5 million, see how he plays by the end of next season and negotiate a two year deal for about $10 million per thereafter.

You can't reduce a players salary in a renegotiation: http://www.cbafaq.com/salarycap.htm#Q59

A renegotiation can only be used to provide a salary increase -- players can't take a "pay cut" in order to create more cap room for the team.

There's no way around that 60% lower bound, unfortunately. He'll be a free agent in 2023

Meh, so the renogiation is for a $1 increase on the year under contract. Everything else still holds.

I don't think this works. There are two options, Al's either on the team next year for the 26.5 or he's not on the team. The Celtics can't just decide not to guarantee the 26.5 and pay him 19.5, the full amount guarantees automatically as long as he's not cut. Therefore its the 26.5 the extension has to be based off.