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#56fanatic · 02-16-2006, 03:00 PM

Another salary cap discussion, man this is dangerous territory. Everyone keeps going down the restructure road, thats fine for a year or two, but you still have to pay the original signing bonuses too. I know the skins have done a great job of circumventing this cap for a while, I just dont see how they are going to be able to keep doing things this way. They are eventually going to either have to start cutting really good players or bite the cap figures.They are just putting it off by restructuring, plus they keep having roster turnover because they have to cut 10 to 15 people every year. I found this about restructing deals.

If a player decides to renegotiate his contract, how does the bonus money he received in the original contract count against the cap? Answer:If a player renegotiates his contract and gets a new signing bonus, the new signing bonus is prorated over the remaining years of the original contract AND over the extension. The allocation of the original signing bonus remains unchanged.

For example, Player X is currently in the third year of a four-year deal (2000–2003) that paid him a $1 million signing bonus. In 2002, Player X renegotiates his deal extending his contract to the 2005 season while getting a $2 million signing bonus. The original $1 million signing bonus is allocated at $250,000 per year over 2002 and 2003 just as it would be if there were no renegotiations. However, the new $2 million signing bonus is allocated at $500,000 per year over the remaining two years of the original contract (2002–2003) and the extended two years (2004–2005).

02-16-2006, 03:00 PM	#82
#56fanatic The Starter Join Date: Oct 2005 Location: Charlotte NC Age: 50 Posts: 1,801	Re: Salary Cap Analysis Another salary cap discussion, man this is dangerous territory. Everyone keeps going down the restructure road, thats fine for a year or two, but you still have to pay the original signing bonuses too. I know the skins have done a great job of circumventing this cap for a while, I just dont see how they are going to be able to keep doing things this way. They are eventually going to either have to start cutting really good players or bite the cap figures.They are just putting it off by restructuring, plus they keep having roster turnover because they have to cut 10 to 15 people every year. I found this about restructing deals. If a player decides to renegotiate his contract, how does the bonus money he received in the original contract count against the cap? Answer:If a player renegotiates his contract and gets a new signing bonus, the new signing bonus is prorated over the remaining years of the original contract AND over the extension. The allocation of the original signing bonus remains unchanged. For example, Player X is currently in the third year of a four-year deal (2000–2003) that paid him a $1 million signing bonus. In 2002, Player X renegotiates his deal extending his contract to the 2005 season while getting a $2 million signing bonus. The original $1 million signing bonus is allocated at $250,000 per year over 2002 and 2003 just as it would be if there were no renegotiations. However, the new $2 million signing bonus is allocated at $500,000 per year over the remaining two years of the original contract (2002–2003) and the extended two years (2004–2005).