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Old 05-26-2006   #1
done88
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Default No signing bonus for Texans' Williams

Has any read this. What are the details?
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Old 05-26-2006   #2
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Originally Posted by done88
Has any read this. What are the details?
That is an insider article and I'm not.:brickwall
Surely someone will give us a synopsis.
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Old 05-26-2006   #3
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Anyone...come one guys.

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Originally Posted by ESPNInsider
League salary documents obtained by ESPN.com confirm the six-year contract signed last month by former North Carolina State defensive end Mario Williams, the first selection in this year's draft by the Houston Texans, features a basic value of $54 million and a maximum worth, counting all possible bonuses, incentives and escalators, of $62.1 million.

The guaranteed money in the contract is initially $21.75 million, and then jumps to $26.5 million after the Texans exercise an option next spring.
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Old 05-27-2006   #4
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someone summarized it on hpf.com.
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Old 05-27-2006   #5
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Originally Posted by markbeth
someone summarized it on hpf.com.
Here it is.

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Originally Posted by painekiller on hpf.com
In the case of Williams, he received a $2.625 million roster bonus on what essentially is a five-year deal with an option for a sixth season. Under the terms of the contract, the base salaries for the first five years -- $275,000 (2006), $3.625 million (2007), $4.35 million (2008), $5.075 million (2009) and $5.8 million (2010) -- are fully guaranteed. That totals $21.75 million in guarantees.


But the guarantees escalate to $26.5 million next spring, when the Texans pay Williams $12 million to exercise their option for a sixth season on the contract. By exercising the option, the Texans reduce the salaries in Years 2-5 of the contract -- to $975,000 (2007), $1.575 million (2008), $2.3 million (2009) and $3.025 million (2010) -- and add the 2011 season at a base salary of $3.725 million. All the base salaries are guaranteed, bringing the total guaranteed money to $26.5 million.


Williams can void the final two years of the deal based on playing time levels and if he and the team reach certain predetermined performance levels, but the Texans then have a right to buy back the voided 2010 and 2011 seasons at a cost of $8.5 million. There are plenty of incentives, like $125,000 in most years for leading the league in sacks, bonuses for honors and playoff victories, and escalators that can raise the base salaries in 2010 and 2011 by $6 million and $9.5 million, respectively.


But mostly there is a lot of money, even if none of it is delivered in the form of a traditional signing bonus, and the Williams contract is certain to be a template of sorts for many more first-round deals.
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Old 05-27-2006   #6
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This seems like a big step in the direction of guaranteed contracts. I wonder how the other owners like that? A $12M roster bonus the 2nd year sounds pretty unusual to me too, but I'm no contract expert.
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Old 05-27-2006   #7
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Guaranteed base salary has been creeping into the NFL for a while now - it just hasn't been publicized much since it's reserved for the higher paid players. and isn't the norm. Here's an article that's a few years old that shows trends back in '03 and I'm sure the amount of guaranteed base has continued upward. Owners just can't afford the massive outlay for a one time signing bonus any more and they have to find alternative ways to deliver it.

http://www.nflpa.org/PDFs/Shared/Gua..._Contracts.pdf

Last edited by aj.; 05-27-2006 at 05:49 PM.
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Old 05-28-2006   #8
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I don't think he needs a signing bonus in my opinion.
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