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This Summer’s Most Creative NBA Deals

Salary cap guru Eric Pincus looks at some of the most creative contracts signed this summer.

Eric Pincus

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The initial barrage of free agency is complete.  While a few stragglers remain, most of the impact free agents are off the board.

LeBron James has yet to re-sign with the Cleveland Cavaliers, but that’s presumed to be fait accompli.  Kevin Durant has relocated to the Golden State Warriors.  The Los Angeles Lakers quickly locked in Timofey Mozgov.

Some teams still have spending power, like the Boston Celtics – who are still hoping to make a blockbuster trade – or the Brooklyn Nets with almost $19 million left in cap space.

A few franchises managed to stay above the NBA’s record $94 million salary cap, including the Los Angeles Clippers, Toronto Raptors and Cavaliers.

The Oklahoma City Thunder are in an either/or situation, presently over but capable of dropping under by as much as $14.4 million.

Of the many completed deals, a number jump out as particularly creative:

Short-Term Rondo

The Chicago Bulls invested in Rajon Rondo, but with a relatively cheap escape clause.  The veteran point guard will earn $14 million for the coming season, then $13.4 million for 2017-18 – but only $3 million of that second year is guaranteed.  Should the Rondo experiment go south, the Bulls can cut him, stretching out his salary over three season at $1 million apiece.

Rondo could also prove to be a trade asset, should a team want to come off a more expensive salary, looking for a cheap partially-guaranteed player to acquire and cut to clear cap space.

James Harden Renegotiate and Extend

The Houston Rockets had hoped to make a bigger splash in free agency than Eric Gordon and Ryan Anderson, but the team is happy with their summer acquisitions.  More importantly, the team used their available cap space to restructure Harden’s contract from $16.8 million for 2016-17, to a maximum salary of $26.5 million – locking in an additional year (or two, giving Harden a player option for 2019-20) for their generosity.

The mechanics of Houston’s move was covered in May.  The Utah Jazz still have just about enough cap room to do the same with forward/center Derrick Favors.

Moving Quickly Under Pressure

The Brooklyn Nets gave significant offers to restricted free agents Tyler Johnson and Allen Crabbe.  Both the Miami HEAT and Portland Trail Blazers, respectively, opted to match – but they made sure to use up as much cap room as possible before they did.

The HEAT rushed to add in Derrick Williams, James Johnson, Wayne Ellington, Willie Reed, Luke Babbitt (via trade) and Udonis Haslem.

The Blazers made sure they locked in Evan Turner, Jake Layman and Festus Ezeli, before using Crabbe’s Bird Rights (with just a $2.7 million cap hold) to match his deal starting at $18.5 million.

Ezeli on the Cheap

While the Lakers gave Mozgov $64 million over four years, the Blazers landed Ezeli with a scant two-year deal worth $15.1 million.  Ezeli’s second season at $7.7 million is only guaranteed for $1 million – potentially one of the best bang-for-the-buck contracts signed this summer.

Arenas Rule Offers

The Nets were not successful luring Johnson away from Miami, but their offer – which would have hit their books at a flat $12.5 million a year for four seasons – will cost the HEAT $5.6 million and $5.9 million over the first two years, then $19.2 million each over the final two.

Johnson was a restricted free agent with Early Bird Rights, making him an Arenas-rule free agent.

The Detroit Pistons also made a similar, albeit smaller, Arenas-rule offer to Boban Marjanovic.  The San Antonio Spurs didn’t have Early Bird Rights for Marjanovic, and not enough cap room to match.  The second-year center will earn $21 million over three years in Detroit.

Lakers’ Checkmark Contracts

Whether or not the Lakers invested wisely in Luol Deng, Jordan Clarkson and Mozgov is subjective, but the team clearly has an eye on cap room next summer.

The Lakers gave the trio of signings higher salaries for 2016-17, which then descend a year before rising again in seasons three and four.  The team could have nearly $32 million in cap space next summer.

Los Angeles also used their cap room to add on a couple of second-round picks, and a veteran reserve point guard in Jose Calderon from the Chicago Bulls.

The team has held off on signing Tarik Black, Marcelo Huertas and second-overall pick Brandon Ingram, keeping an eye on what could be $13.6 million in cap room (assuming the team also waives and stretched Nick Young).

The Lakers do have an unnamed trade target in mind, but are also preserving space for another opportunistic Calderon-like deal.

Additionally, Los Angeles chose to give Clarkson a $50 million contract over four years, instead of letting the third-year guard find an Arenas-rule offer, which would have nearly doubled the salary cap hits in the third and fourth years of his contract.

Warriors Clearing Room for Durant

While it can be important to plan for future cap space, the Warriors showed that room can be generated on the fly.

To land Durant, the team shed a number of free agents, including Harrison Barnes and Ezeli, but the key move was finding a taker for Andrew Bogut in the Dallas Mavericks.

Conley Got Paid

Hats off to the Memphis Grizzlies for giving Mike Conley the biggest contract in NBA history.  Right or wrong, it was a bold, unprecedented move with Conley benefiting from the unique economic circumstances of the summer.

Conley’s has an early termination option on his final season (2020-21) and, should he decide to finish his contract, “only” $22.4 million of his $34.5 million is guaranteed.  Conley can lock in that full salary if he played in 55 games in either of the 2018-19 or 2019-20 seasons.

Ramping Guarantees

Both the Mavericks and HEAT got a bit extreme in the guarantees with rookies Dorian Finney-Smith and Rodney McGruder, respectively.

Finney-Smith has $100,000 of his three-year rookie deal locked in, but will get $150,000 if he can last to opening night, then $200,000 by Dec. 15.  His salary for 2017-18, should he get through his various cut-down dates this year, has a similar schedule.

McGruder has even more milestones to get through, starting at a similar $100,000.  He then steps up to $150,000 on Aug. 1, $300,000 by Miami’s first game and $400,000 on Dec. 1.

Both Finney-Smith and McGruder will earn minimum salaries over their three-year, $2.5 million deals.  Both will be fully guaranteed for 2016-17 on the league-wide cut-down date of Jan. 10.

Rookies on Three-Year Deals

The New Orleans Pelicans have agreements with a number of free agents, but have held off on signing, making sure the franchise has the cap room first to ink Cheick Diallo (33rd overall pick) to a three-year deal.

The Houston Rockets made sure they had enough room to agree to a three-season contract with Chinanu Onuaku (37th pick).

In most cases, teams should have cap room to sign at least one rookie free agent for three years instead of two, establishing Full Bird Rights before inking their summer’s free agent haul.

The Warriors could have with Pat McCaw (38th pick), but either neglected to or McCaw’s agent wasn’t open to a longer contract.

Kings Win with Afflalo, Tolliver

Sacramento signed Arron Afflalo to a two-year, $25 million contract.  Anthony Tolliver will earn $16 million over the same period.

Afflalo only has $1.5 million of his 2017-18 salary locked in, while Tolliver’s is slightly higher at $2.0 million.

Should the Kings look to package the pair in trade, the combined outgoing salary of $20.5 million, guaranteed for just $3.5 million combined, might be especially attractive to other teams in trade.

Honorable Mention

The Cavaliers paid $200,000 to the Milwaukee Bucks to generate a trade exception for Matthew Dellavedova, which they immediately used to take on Mike Dunleavy from the Bulls – enabling Cleveland to keep their $9.6 million trade exception for Anderson Varejao, which doesn’t expire until Feb. 18.

Cap room isn’t all about free agency.  The Jazz were able to add on George Hill and Boris Diaw with cap room via trade, although the team did give up the 12th pick in June (Taurean Prince) to the Atlanta Hawks to bring on Hill (from the Indiana Pacers in a three-team deal).

Finally, the Philadelphia 76ers signed a favorable deal with Gerald Henderson, who will earn $9 million flat for two straight years, but his second season is only $1 million guaranteed.

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2018 NBA Draft Diary

NBA Daily: The Losers of the NBA Draft

Shane Rhodes breaks down the losers of the 2018 NBA Draft.

Shane Rhodes

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The 2018 NBA Draft season has come to a close. And, while the actual draft wasn’t the fireworks show that it could have been, there was still plenty of surprises, both good and bad.

While Basketball Insiders’ Simon Hannig discussed the winners of the draft, not everyone was so fortunate. And, while the draft can come down to chance, some teams were worse off than others.

Let’s take a look at some of the bigger losers from draft night

Mikal Bridges

Talk about heartbreak.

Mikal Bridges was going home. The Philadelphia 76ers selected the Villanova standout with the No. 10 pick. Bridges did an entire press conference, talking about what it was like to be staying in Philadelphia. His mother, Tyneeha Rivers, is even the Global VP of Human Resources for Harris Blitzer Sports & Entertainment, the company that owns the team. It was perfect.

And then it wasn’t.

It’s hard to not feel bad for Bridges, who was dropped into a dream scenario and then had it all ripped away. Going to the Phoenix Suns, an organization heading in a new direction, to play alongside plenty of young, high upside talent, including No. 1 pick Deandre Ayton as well as former lottery picks Josh Jackson and Devin Booker, isn’t the worst thing in the world for the rookie forward. Bridges could even flourish in Phoenix.

But it certainly won’t compare to playing under the bright lights in Philadelphia alongside Ben Simmons and Joel Embiid come next April and for years to come.

Michael Porter Jr.

One year ago, Michael Porter Jr. was a top three draft prospect projected to go as high as No. 1 overall. However, with rumors of questionable medicals swirling throughout the draft process, he dropped all the way to the Denver Nuggets at No. 14 overall.

While Porter will certainly welcome the chip on his shoulder, the lost earnings will definitely hurt him and his pocket. Porter is missing out on millions on his first NBA contract. Plus, the sheer amount of teams that balked at his medicals doesn’t bode well for his long-term future in the NBA.

It isn’t all bad for Porter; Denver has a young, talented roster and was one win away from a postseason birth last year. They can afford to be patient with Porter’s back, should he need to miss some time, as well. Standing 6-foot-11, 211 pounds and with a smooth jumper, Porter still has a great chance to be a star in this league.

Still, it was an inauspicious beginning to what, hopefully, is a long NBA career.

Sacramento Kings

This could apply to the Sacramento Kings roster as well as their fanbase.

The Kings got “their guy” in No. 2 overall pick Marvin Bagley III. And, while Bagley is still an amazing talent, the pick just seems like more of the same for the Kings, who have a glut of bigs — Willie-Cauley Stein, Harry Giles III, Skal Labissiere, Kostas Koufos — on the roster and a distinct lack of high-quality guard or wing depth.

In steps Luka Dončić, the 19-year-old Slovenian phenom. With the Suns taking Ayton with the top pick, the Kings had their chance to shore up their backcourt for the foreseeable future alongside De’Aaron Fox and move another step closer to relevancy.

And they whiffed.

Dončić could very well end up as the best player in the class. While he isn’t the most athletic, Dončić is exactly where the NBA is going; he is a multipositional defender and playmaker that can shoot the three. Meanwhile, Bagley, who is a questionable fit in the modern game, will be hardpressed to find playing time early on in his Kings tenure. Even worse, with their hearts set on Bagley, the Kings likely could have traded down a la the Atlanta Hawks and picked up another asset for their troubles.

While it’s much too early to call it either way, this is a pick that could come back to haunt Sacramento down the line.

Cleveland Cavaliers

It was not a great night for the Cleveland Cavaliers.

The Cavaliers missed out on one point-guard prospect, Trae Young, and another, Shai Gilgeous-Alexander, flat out said he didn’t want to play for the franchise. And, even though they got a guard they liked in Alabama’s Collin Sexton, the Cavaliers are still in the unenviable position of dealing with LeBron James’ third iteration of The Decision.

Sexton’s selection doesn’t exactly help them retain James’ services either.

Since acquiring the pick from the Boston Celtics in the Kyrie Irving trade last summer, it had been speculated as to whether Cleveland would use the pick or trade it to get James help. With the team opting for the former, it’s difficult to imagine the Cavaliers getting any significant help for James, in free agency or otherwise, which could push him closer to leaving than he already may be. Meanwhile, Sexton, who dominated the ball during his time at Alabama, isn’t exactly the best fit alongside James in the event that he stays.

Either way, there appears to be a bumpy road ahead for the Cavaliers.

Washington Wizards

Troy Brown Jr. is a great pickup for the Washington Wizards. That still doesn’t mean he wasn’t a reach.

Brown is a twitchy wing that can defend multiple positions. But there were multiple wings that Washington could have taken ahead of Brown (e.g., Lonnie Walker II) that would have made this a better pick. Brown struggled as a shooter during his lone season at Oregon — he shot just 29.1 percent from three and has some iffy mechanics — and is a strange fit on the Wizards roster that already has a surplus of wing depth in John Wall, Bradley Beal, Otto Porter Jr. and Kelly Oubre.

With the team looking to move Marcin Gortat, a big would have been a better fit for Washington at 15. Or, if management was deadset on Brown, dropping back a few spots would have made more sense.

Brown certainly has the talent to make an impact, but it’s hard to like a pick that may not crack the rotation in year one, according to the Wizards own General Manager.

Toronto Raptors

The Toronto Raptors took a big step earlier this offseason, moving on from Dwane Casey and placing Nick Nurse at the helm in early June.

But, with zero picks in a loaded draft, the Raptors have to be considered losers.

There were plenty of difference makers available up-and-down the draft board, but the Raptors didn’t end up with any of them. While management could improve the team via trade or free agency come July, they still feature the same roster that got manhandled in the Eastern Conference Semifinals by James and the Cavaliers and that isn’t good.

Not everyone can come out a winner in a crapshoot like the NBA Draft. Still, some teams found themselves worse off than others when all was said and done. Luckily, those teams still have a chance to improve themselves with free agency right around the corner.

 

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2018 NBA Draft Diary

NBA Daily: The Winners Of The NBA Draft

Simon Hannig breaks down the winners from Thursday’s 2018 NBA Draft.

Simon Hannig

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The 2018 NBA Draft has come and gone, and although many teams have improved coming out of this loaded draft, five teams seemed to have walked away as the biggest winners.

The Phoenix Suns Got Their Guy

The Suns made a couple of splashes in the draft, selecting DeAndre Ayton with the first overall pick.

The Suns then drafted Zhaire Smith, but later traded his rights to the Philadelphia 76ers for Mikal Bridges.

In the second round of the draft, Phoenix selected Frenchman Elie Okobo and George King from Colorado, each of whom should be able to contribute right away. Ayton should be the starting center come opening night and Bridges could also start for the team immediately. If not, Bridges will be a valuable weapon coming off the bench for a team who is trying to win games and get back into the playoffs.

Does Mo Bamba Have The (Orlando) Magic?

The Orlando Magic got a stud in Mo Bamba, whom they surprisingly selected with the sixth overall pick in the draft. They later drafted Melvin Frazier in the second round. It was a bit surprising that the Tulane product lasted that long, but the Magic benefitted.

Orlando got a player who can contribute right away and could compete for a starting job. Frazier is a great rebounder and defender and could change the team’s defense all by himself. The club now has two young core pieces they can build around in Jonathan Isaac and Bamba and a young contributor in Frazier.

Although the team’s offense will likely be work in progress, they can be very scary on the defensive end.

Now, we’ll all wait to see if Bamba, the New York product, can carry the Magic back to respectability.

Atlanta Hawks Will Let It Fly

After drafting Luka Doncic with the third overall pick, the Hawks ended up sending him to Dallas in exchange for Trae Young and a future protected first round pick. The pick is top-five protected the next two years, top-three protected in 2021 and 2022 and unprotected in 2023, according to Mavs president of basketball operations Donnie Nelson.

With their second first round pick, the Hawks took sharpshooter Kevin Huerter from Maryland and, with the 30th overall pick, selected Omari Spellman from Villanova.

Atlanta appears to building themselves in the way of the Warriors, getting sharpshooters in Young and Huerter. It is no surprise they are doing this as their current general manager, Travis Schlenk, worked with Golden State before taking the job with the Hawks.

The Rich Got Richer In Boston

The Celtics once again got a steal in the draft, as they were the beneficiaries as it relates to Robert Williams from Texas A&M. He is an athletic big man who plays great defense and rebounds the ball very well. Williams has lottery talent but ended up falling to the Celtics, who selected him with the 27th pick of the draft.

Williams averaged 2.5 blocks per game at Texas and should also be able to provide second chance opportunities for the team. Williams, as he averaged three offensive rebounds per game in college.

Luka Doncic Found A Good Home

The Dallas Mavericks walked away from the 2018 NBA Draft with two foundational pieces in tow, Dennis Smith Jr. and Luka Doncic. Their other moves were also tremendous, as they drafted Jalen Brunson from Villanova, acquired Ray Spalding from Louisville in a trade with the Sixers and drafted Kostas Antetokounmpo (Giannis’ younger brother) with the last piece in the draft.

For Mark Cuban, it may take time to develop the pieces, but if things could go well, the Mavs might have some productive years ahead.

Doncic was thought to be one of, if not the best player available in the draft, so getting him at the expense of a protected future first round pick seems like a fair trade. Depending on how ready he is to contribute at the NBA level, the sky could be the limit.

Of course, every year, there are surprises. Some good, and some bad. However, walking away from the 2018 NBA Draft, these five teams all appear to have improved themselves immensely.

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2018 NBA Draft Diary

NBA Draft Night Trades

David Yapkowitz breaks down the trades that took place during the 2018 NBA Draft.

David Yapkowitz

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Another NBA Draft has come and gone. With rumors swirling all week about possible pick/player movement, the night remained relatively uneventful. There were a few trades that occurred, however. Here’s a quick breakdown of the movement that happened on draft night.

1. Atlanta Hawks/Dallas Mavericks

The Hawks and Mavericks completed the first trade of the night early on in the draft. Leading up to the draft, there were questions about how high Luka Doncic was going to be drafted. It was widely assumed that he wouldn’t slip past Dallas at No. 5. The Mavericks weren’t going to take that chance as the Hawks drafted Doncic with the intention of trading him to Dallas for Trae Young.

Both teams ultimately get what they need. It’s been reported that the Hawks might move on from Dennis Schroder this summer and they’ll need a point guard to replace him. Young is an explosive scorer who will fit in nicely with Atlanta’s rebuild. He can score from anywhere on the court and he’s a great playmaker as well.

For the Mavericks, they get a guy to add to their own young core with Dennis Smith Jr. and Harrison Barnes. Doncic has the size to play next to Smith in the backcourt. He’s quite possibly the best playmaker in the draft with a solid offensive game as well.

2. Charlotte Hornets/Los Angeles Clippers

The Hornets and Clippers consummated the second move the night by swapping their own draft picks. The Hornets took Shai Gilgeous-Alexander with the 11th pick and then immediately traded him to the Clippers for Miles Bridges, whom Los Angeles selected at No. 12.

For the Hornets, they get a guy who can play both forward positions. Bridges is more of a small forward but in small ball lineups, he can slide over to the four. Offensively he is at his best when he puts the ball on the floor and attacks the rim. He’s a decent shooter too.

The Clippers get a point guard who was rumored to climbing up many draft boards as the night approached. Gilgeous-Alexander is a solid pick for them provided both Patrick Beverly and Milos Teodosic’ injury history. He can also play off the ball if need be. He’s got the physical tools to be a very good defender at the NBA level. It’s not at all far-fetched to imagine him as the future long-term starting point guard for the Clippers.

The Hornets also got two future second-round picks from the Clippers.

3. Philadelphia 76ers/Phoenix Suns

The Sixers and the Suns had the next move of draft night, also swapping their picks. The Sixers selected hometown hero Mikal Bridges with the No. 10 pick and later traded him to the Suns for the No. 16 pick, Zhaire Smith.

Bridges made a lot of sense for the Sixers. Not only is he a local guy, but his mother works for the team as well. He was a talented player who fit their team. He gave a post-draft press conference raving about being a Sixer all the while he had been traded already. But such is life in the NBA. Instead, Phoenix gets a guy that’s ready to contribute in the NBA right away. He’s the prototypical 3&D type guy.

For the Sixers, Zhaire Smith is another guy who was steadily climbing the boards in the days leading up to the draft. He’s a very athletic prospect with good defensive instincts. He probably won’t play much right away, but he does have the potential to end up being one of the better rotation players in this draft.

The Sixers also get a 2021 first-round pick from the Suns via the Miami Heat. It’s highly likely this ends up being a lottery pick and thus giving the Sixers the chance to add a high-end talent to an already potent group.

4. Second-Round moves

There are a few second-round moves that were made as well.

For one, the Hawks selected Devonte Graham with the 34th pick and traded him to the Hornets for two future second-round picks. Graham is another NBA ready guy who can come in and immediately contend for backup point guard minutes behind Kemba Walker.

The Sixers were involved in another deal sending the No. 38 pick Khyri Thomas to the Detroit Pistons for two future second-round picks. Thomas is a player that many projected to go in the first round. For a team that didn’t have a first-round pick coming into the night, the Pistons essentially picked one up. It’s possible he turns out better than Detroit’s most recent first-rounders Henry Ellenson and Luke Kennard.

The Sacramento Kings drafted Gary Trent Jr. with the 37th pick only to trade him to the Portland Trail Blazers for two future second-round picks. Trent was one of the better shooters in the draft and that’s what he projects to the be in the NBA. He’s probably a few years away from earning a spot in the rotation but he was also a possible first-round pick. He’s more NBA ready than Anfernee Simons who the Blazers took in the first-round.

The Orlando Magic and Denver Nuggets swapped second-round picks with the Magic sending the No. 41 pick Jarred Vanderbilt to the Nuggets for the No. 43 pick Justin Jackson and a future second-round pick. Vanderbilt is a project in every sense of the word. He’s extremely raw and probably needed more time in college. But he’s got long-term potential and could pay off in the future. Jackson, on the other hand, was possibly a first-round talent had he entered the draft last year. He’s going to have to make the roster but could be a 3&D guy.

In the final move of the night, the Hornets traded the No. 45 pick Hamidou Diallo to the Oklahoma City Thunder. Diallo is a guy that had he come out last year, probably would’ve been a first-round guy. In any case, he is also very raw and will need seasoning in the G-League. He’s got all the physical tools and skill to be a good rotation NBA player.

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