Giants president of baseball operations Farhan Zaidi conducted a conference call with reporters on Tuesday evening. San Francisco’s baseball operations leader touched on the club’s pursuit of new division rival Shohei Ohtani now that he’s free to speak about that process publicly.
Zaidi told the media the Giants offered essentially the same contract terms as Ohtani wound up accepting with the Dodgers. The defending AL MVP is guaranteed $700MM on a 10-year contract, but $680MM of that money is deferred to be paid between 2034-43. MLB calculates the deal’s actual value around $460MM for competitive balance tax purposes. According to Zaidi, the Giants made clear they were willing to do the same thing.
“The proposal that was made was very comparable if not identical to what he wound up agreeing to,” the Giants baseball ops president said (relayed by Janie McCauley of the Associated Press). “We offered what would have been the biggest contract in major league history. I’m guessing we weren’t the only team that did that.”
Zaidi confirmed that Ohtani’s camp also lobbied for a heavily deferred contract in their negotiations (something he reportedly pursued with every team). “It was pitched to us in a similar way, the notion that he’s a player who’s got a ton of endorsement deals, makes a lot of money off the field, and it was sort of a vehicle to create some flexibility for the team — but also get to a really big number on the overall value of the contract, which is important in its own way,” he said (via Susan Slusser of the San Francisco Chronicle).
“But yeah, I mean, it’s certainly advantageous and you can understand why it was done. … The CBA is very clear there is no maximum or no limitations on deferring salary, that’s very black and white, so I don’t really have editorial comment. It’s something that if it’s pitched to us in a way that we think makes sense for the player and the team we would be open to it, and we certainly were in this case.”
Despite the “comparable if not identical” offer, Ohtani chose the Dodgers. Zaidi suggested that was likely due to a preference for remaining in Southern California, where the superstar has spent his entire career. It also seems fair to presume Ohtani viewed the Dodgers as better positioned than the Giants for sustained competitiveness over the coming decade.
The Giants have moved quickly in the wake of the Ohtani decision. They agreed to terms on a six-year, $113MM deal with KBO star Jung Hoo Lee to man center field. (The team has yet to confirm that deal.) Evenly distributing the salaries on Lee’s contract would bring San Francisco’s 2024 payroll projection to roughly $166MM, per Roster Resource. That’s about $22MM shy of last year’s season-opening payroll. They’re roughly $48MM below next year’s base luxury tax threshold.
There’s clearly still room for further acquisitions. Zaidi reiterated his desire to add another starting pitcher and a complement to 22-year-old Marco Luciano at shortstop (via Alex Pavlovic of NBC Sports Bay Area). San Francisco is among the teams to meet with NPB ace Yoshinobu Yamamoto in recent days.
Shadow_Banned
Go blue
Zerbs63
Giant fans gotta hate that
Balk
Nah, I knew that whoever was going to get Ohtani, the Giants were going to drive the price up. It could’ve been $100 million more or less and he still would’ve went to the Doyers. Glad the Giants made them pay big time.
99CaptainJudge99
It’s not a total loss truthfully, after all the Giants did sign Arson Judge last season. At least they signed Jung Hoo Lee tonight, he seems like he’s going to be a really nice player in the major leagues. Gotta start somewhere.
ZitoDidRoidsTooObviously
The Arson comments are totally tired. The Yankees haven’t done much better the last ten years, shelled out some decent money. I watched Judge get booed from the Bleacher Creatures section two seasons ago
Unclemike1525
I’m quite sure everyone involved would have matched the offer. It basically came down to where he wanted to play
TrumboRedux
I think you put it best Unclemike..Plain and simple!
Unclemike1525
Especially when you consider the way they structured it that it only counts as 46 million a year against the tax. They were saying 500 million at the start and the Dodgers kept it right around there. Quite sure everybody else would have done something similar so it was just where he wanted to be. Saying crap like this after it’s over is just a ploy to appease the fans IMO.
claude raymond
So, make this known appeases the fans. And they don’t make this known, fans complain the Giants didn’t try hard enough. UncleMike, there’s no 3rd option. Damned if you do. Damned if you don’t.
Unclemike1525
As a Cub fan I don’t really need to be appeased. I’m quite sure the Cubs did their best ( Twice) To get this guy and it didn’t work out. No explanation necessary for me. It will probably work out better for the Cubs who can now sign Bellinger, Hader, and Imanaga if possible. I doubt Yammamoto wants to pitch in Wrigley but I could be wrong. I know the Cubs will be competitive for FA’s but I know they all don’t work out. And there will still be 37,000 people in Wrigley for a Tuesday Night game in My. Just a fact.
aragon
It may be by the rules. But it was not moral in fans mind. Using Amphetamines may not have been illegal before 1966 but it was immoral.
Roger Beshen's Patented FootballSlider
Major League Baseball keeps changing things, so why shouldn’t contract structuring also change with the game?
Unclemike1525
It’s been done before. Why is it a huge deal now? Smart fans know that the Luxury Tax has been played with a thousand times. You’ll never get a Hard, Or a Soft Cap in baseball ever. The facts are with the TV money, The Merchandise Revenue, and the Playoff money plus 162 games there isn’t really a need for one. Every team has at least 1 guy in their organization that his only job is to figure out ways to keep the team Tax compliant. So I don’t even get where you’re coming from. Immoral? Having an Accountant with a sharp pencil is immoral? Seriously? Get a grip dude. Everybody on the winning WS team walked off with 500.000 bucks. Who cares?
Tigers3232
@Aragon, it is only not moral to those who do not understand finance and the rules MLB has in place in regards to funding deferred monies.
People are speaking on this as tho come 2034 the Dodgers will suddenly be cutting checks directly to Ohtani for $68M. In reality the principal of each year’s deferral is put into an account/fund and will start accruing on a projected schedule to $68M.
The Dodgers will never be writing off $68M against their profits, they ll write off the principal. The growth from principal to the accrued value of $68M will be income Ohtani will be claiming.
Unclemike1525
Exactly Tigers. The Dodgers will get more than their money back as they will just put the extra revenue Ohtani brings in into some kind of future account. They’re not going to lose money. People like this aragon person just don’t understand is that the Luxury Tax is just there to keep some sort of balance between the big market teams and the small market teams. The Tax Payers pay the small market teams money based on how much tax they pay. IT”S NOT THE BIG MARKET TEAMS FAULT THE CHEAP OWNERS PUT THE MONEY IN THEIR POCKETS INSTEAD OF INVESTING IT IN THEIR TEAMS LIKE THEY’RE SUPPOSED TOO. Guys like Fisher and Nutting and Castellini who get tons of money and draft picks every year and still screw it up. If you ask me that’s what’s immoral.
Unclemike1525
I’ve got a poll. Let’s say Skenes is everything they say he is. He’s lights out. What do we put the odds at that Skenes will be there when his arb years run out? I’d put that number at freakin zero.
haighwiser
It’s just a way for Ohtani to dodge American taxes until he moves back to Japan. Guarantee it has more to do with that than winning and if you’re a finance guy, you have to agree.
roob
You’re a finance guy? Guess what? Just because money is your god and all that matters in life to you doesn’t mean everyone thinks that way. Most don’t. You just can’t fathom that.
You can’t take it with you dude. Money is not happiness.
Citizen1
Cubs right team, wrong gm
President of baseball operations,
HatlessPete
@haighwiser way to tell me you dont know what the heck you’re talking about without actually telling me. The luxury tax in mlb is not an “American tax” it is a bargained policy within the mlb organization.
This doesn’t constitute ohtani dodging taxes in any way. I don’t see any reason to believe he is dodging any taxes on his earnings. If anyone is dodging a tax of any kind here it’s the dodgers. Whether or not ohtani goes back to Japan at the end of his mlb career is to my understanding irrelevant to his tax obligations on earnings in the US.
But hey why let facts and reason get in the way of your lowkey racist “HURRRRR FURRENERS!” hot takes.
Big whiffa
That’s what it always comes down to for top free agents. You can’t ever just “go get that guy” bc there’s always another team or teams willing to pay top value
Rexhudler86
Agree he wanted to stay in the area. Sounds like the cubs weren’t matching, it was reported they lost interest in ohtani days before he made the decision.
99CaptainJudge99
The Yankees never would have made any offer to Shohei, knowing he doesn’t have a desire to play in NY. The Mets would have matched that offer if it was 2025. They already said they weren’t making a big splash in 2024, so it’s either Yamamoto or bust for them in 2024.
Rexhudler86
He had a top 5, I’m even not sure if the Yankees were even in the top 10. Kinda looking like the blue jays made that offer, probably why the rumors came out and everyone matched.
Unclemike1525
The Yankees were actually the first team to bail on Ohtani the way I remember it. Then they overspent on Soto and Verdugo and now have some pretty pathetic Outfield defense if Judge is your best CF and Stanton and Soto have to play anywhere,. No offense.
Rexhudler86
They could trade verdugo, and go with Grisham in center
Unclemike1525
Doesn’t answer the question. Either Stanton or Soto is going to have to play in the field or sit. Unless you can change the rules and use 2 DH’s.
1984wasntamanual
That’ll sort itself out when Stanton ends up on the DL in the first month or so.
stymeedone
Key word: “Essentially” the same.
HBRC1987
Yeah ohtani knows his only window to be a real part of a championship team is these next 2 seasons before he fizzles out.
jay47
1st
Bucket Number Six
Yum yum eat ’em up!
Fenway 1
Wish he picked San fran
Pete'sView
Glad he didn’t. Spread the money around. After Lee now Yamamoto and Hoskins. Trade for Tommy Edman.
Franklin Souze
i rather have Bellinger than Edman.
Unclemike1525
Bellinger and Hoskins are as good as Cubs now.
Pete'sView
Bellinger can’t play SS and will be much more expensive than Edman. Edman is a switch hitter. Bellinger bats LH. Giants are already a little heavy with LF hitters.
99CaptainJudge99
The players they have don’t even want to be there or play there though.
Pete'sView
99CaptainJudge99— You realize how repetitive you are? I don’t usually mute posters but contribute something different vis a vis your opinion.
Butter Biscuits
So same deal with giants soon we’ll hear about other teams with similar offers. Ohtani chose who he wanted to play for plain and simple
DarkSide830
Classic Giants L.
BennyGiant
Cody Ross
Bart Harley Jarvis
Ouch!
DarkSide830
I was, like, 8 when that happened. Your spells have no effect on me!
BennyGiant
Lol
Bart Harley Jarvis
If memory serves me correct, it’s spelled ‘Cody F#€£!ng Ross’.
vaderzim
I’m sure they did.
I’ll be here next year when they make a tremendous effort to sign Juan Soto, only to come up short.
Pete'sView
vaderzim — Lots of teams come up short in numerous deals. Why do you think you’re the new sage? It’s all repetitive dribble after so much time.
vaderzim
I do not believe that I am a sage, as I would make a terrible sage, but I appreciate your recognition and that you think highly enough about me to say that to me, as well as investing time for me out of your day.
Giants have failed to sign superstars like Bryce Harper a few years ago, Arson Judge & Correa last year, and now Ohtani among others.
There are always lots of teams who come up short every time, but when this type of pattern starts to form, it becomes too familiar to dismiss as coincidental.
In terms of repetitive dribble, are you able to elaborate on that further?
Pete'sView
I just mean that you are saying the same thing that we hear once, twice, ad nauseam, it becomes tired. The players you mention were all (except Correa who did want to sign with the Giants) going to sign with the clubs that they signed with. Everyone knew Ohtani was slated for LA, the same with Judge in NY, and to a lesser degree Harper in Philly..
I like to hear different opinions but this one is just old and untrue.
vaderzim
I appreciate that you are standing firm with your opinion, although if “everyone knew” Arson and Ohtani were going back to the Yankees and Dodgers respectively, then why test Free Agency in the first place (apart from trying to pry more money out of the team)?
Zack Greinke was nearly a slam dunk for the Dodgers after opting out before the 2016 season, but flipped the script once the Diamondbacks entered the chat with a competitive (and less lucrative) offer.
Nothing is guaranteed until the pen meets paper, and while a lot of “easy to guess” signings have happened, what do you actually gain from guessing it correctly? Pride that you were right about something? Narcissism from knowing more than other people? What do you think?
CardsFan57
You want the best brand if you’re merging brands.
bobbers_mcgee
That’s really encouraging news that they went all out.
YankeesAreDodgersEast
It just keeps getting better
pinkerton
No they didn’t.
Very Barry
Ohtani is the best player in the game. Still not enough to get the Dodgers a ring. It will be a 10-year run without a ring.
Butter Biscuits
You think they are done wheeling and dealing
haighwiser
I don’t understand this urgency by the Dodgers to go out and outspend everybody for all the top free agents this year. Also, didn’t they learn anything from the Mets and Padres fiasco over the last couple of years. Throwing money at a bunch of overpriced egos sometimes has the opposite effect.
DanUgglasRing
Honestly I’m just happy they tried to get the same deal done instead of getting cold feet.
UncommonSense
Being in the mix is all part of the game you can’t ultimately decide where a player is going to go in free agency. Now if they failed at trades all the time that’s a different story.
FrankRoo
Then why didn’t they offer a modified version where Ohtani gets a bit more now and less deferred or was it always about leveraging other teams to get the Dodgers to up their offer. I’m not really a fan of how things seemed to go down if Ohtani never really had intentions to sign anywhere but in SoCal.
Tigers3232
From all reports, it seems as though Ohtani sought the deferrals. As for the Dodgers, they are not simply paying $2M starting next season. Each year a player has deferred $ the principal has to be funded to start accruing value at time that $ is deferred.
FrankRoo
Giants could’ve beat the offer if this report is true. I don’t believe they were actually as close as Zaidi wants us to think. This deferral structure is majorly beneficial to big market teams. It’s why it’ll have to be addressed, small market teams can’t compete with this type of contract. Massive money owed in the future when smaller market teams are struggling to forecast revenue a couple years into the future.
It’s obvious Ohtani wanted to play in SoCal. Angels weren’t a contender with the cash so his agent played other teams into thinking they had a chance to get the Dodgers to up their offer. Who knows where the Toronto BS came from, could’ve been part of the plan if the Dodgers we’re trying to stick firm on 600-650M, reports said they upped their offer at the last minute.
“Listen my boy’s getting on the plane right now. It’s done, either blow them out of we’re signing.”
bobbers_mcgee
This is really encouraging as a against fan
avenger65
It seems strange that, if I knew that Ohtani was going to the Dodgers all along, why didn’t other teams know it, too? Why pursue a guy you know isn’t going to sign with your team, that’s just using you to scare the team he always intended to go to into giving him the deal he wants? It worked. The Dodgers could probably have gotten Ohtani for $100m-$200m less but were afraid Toronto or the Giants would outbid them. Well done, Shohei.
Rexhudler86
Probably not smart for ohtani to say I only want to play in socal, even though it was always the case. Heck he probably wanted to be a dodger his first time around, but they didn’t have the dh rule.
MLB Top 100 Commenter
If you knew Ohtani was ultimately going to the Dodgers and you were another team in the same division, why NOT bid high? It costs you nothing and you take away resources from another team.
FrankRoo
And he accepts?
“Uhh actually we weren’t expecting you to accept that $800M offer, we gotta rethink some things”
maxmilna
Dodgers fan here. Haha Giants!
aragon
Haha Dodgers in 4 years. Another TJS if not in 3 years
UncommonSense
Wouldn’t it be nice if all fans were happy for other fans and other teams and we didn’t divide each other like this and wish ill will on each other
StreakingBlue
Oh they just are hanging onto the Dodgers coattails, so they can get brownie points with the gIANTS fans
Franklin Souze
Lol- Dogers are futile – One short season ring in 35 years………..
UncommonSense
But they get in the playoffs every year and make the World Series about a third of the time I’ll take that any day over not making the playoffs half the time. The thrill of being in the playoffs every year is great and I would trade that for one World Series win and then futility for the next 15 years like most teams.
Ignorant Son-of-a-b
I mean, if the money is the same, wouldn’t you choose the Dodgers over the Giants too?
—–he’s familiar & comfortable in So Cal
—–Dodgers make the playoffs ever year
—- Dodgers farm sys continually Top 10
—–Dodgers have all the complimentary pieces
The619MetroPadres
As an insider I can confirm this article is pure hog wash. As team captain I plan on leading my Fathers (led by head father being myself) to the 2024 World Series. I’d bet my 6 million dollar salary for this year on it. Giants are full of baloney! Signed- Matt “Carp”.
Ignorant Son-of-a-b
Mr.Carp: This being the “internet” where folks can pretend to be anybody under the sun (including Matt Carpenter of the San Diego Padres, go figure) we will need to verify your identity. Valid docs: Social Security card, Ralph’s Club Membership, Blockbuster Video Membership card, etc. will suffice to confirm your ID. Cheers.
TrumboRedux
Speak for yourself! I personally would like the login credentials to his 23&Me account. If he doesn’t have one, I’ll settle for an old tissue sample of a liver biopsy. And if he can’t produce that, a piece of signed art work from 1-4th grade will suffice.
wallabeechamp
At least they got Lee. Rosario & Soler seem like nice fits for them too.
JayRyder
Well they have to go out and win anyway. Keep building pieces. Pitching is king. Get the young guys going. Add some vets. Create a good bullpen. Anything can happen in the playoffs. And have a great manager. No Problem.
– Ohtani to the Dodgers has been talked about for years. G’s got used again for leverage. It sucks but it’s reality. I look forward to the Giants kicking the Dodgers butt this year.
halloffamernobodycares
OMG TEH GIANTZ R CHEETING!!!!!!!!!!
halloffamernobodycares
you mean Shohei wanted to play for a team capable of winning the WS as opposed to a barely .500 team? Color me shocked.
1984wasntamanual
He’s making fun of all the people with the stupid takes that the dodgers were cheating by structuring the contract the way they did.
Mustard Tiger
I don’t think this admission makes the Giants look good.
Farhan clearly not a closer. Put that coffee down!!!!
HawaiiPhil2020
Glengarry ref …love it
TrumboRedux
Your name’s Farhan? You call yourself a salesman you son of a b!$ch!?
petefrompp
ABC – Farhan needs to get them to sign on the line. There’s a reason he is driving a Hyundai and not a BMW
goldensombreropc
Sure Farhan.. I offered him the same contract too but he just didn’t want to sign with my Sunday league team either.
Goin' to Sheetz
As long as he doesn’t give this same speech about Yamamoto in a week, they might have a chance at the division. Adding him gives the Giants a better rotation.
acoss13
I assume my Cubbies made a competitive offer as well. Honestly, all you can ask as a Giants or Cubs fan is for the front office to try and they both did.
YourDreamGM
PR BS. Even if true, in the ballpark or the same is far less than LA. You have to make up for the lost endorsement $, weather, and previous location.
stymeedone
The majority of his endorsements are in Japan. Doubt where he plays here matters much for that.
YourDreamGM
It matters.
Mercenary.Freddie.Freeman
Zaidi is a handsome man.
Willzsco
Another W for the Dodgers, another L for the Giants.
Human Being
They should have thrown in a lifetime supply of Rice-A-Roni, the San Francisco Treat, to seal the deal.
Mickey Solis
The Giants are working their way back up now but they’ve won 3 rings this century compared to one fake one for the Dodgers so my guess is more than anything Ohtani was lazy and just wanted to stay in SoCal and sign up for the easy ring on the super team. Can’t say it’s a surprise. #BeatLA
San Farhancisco
Comeon Farhan you can’t just offer THE SAME deal….Giants would have needed to exceed it, perhaps by another 100miL….shame on them if they thought equal was going to work.
Say Hey Now Kid
Giants are going to go full tilt and sign Yamamoto, Bellinger, and Snell. Not really but you know they want to make up for being the bridesmaid three times now (I know Correa is different but still a letdown for them)
UncommonSense
I know you’re joking, but that’s exactly what they need this off-season
petefrompp
Giants blew their wad – welcome Mr Lee –
Giants should sell every piece they can . and look to 2030-2040 as their contention window
Just rebuild already and hire someone who knows what they are doing
Halo11Fan
So it was Ohtani who wanted to manipulate the Competitive Balance clause of the CBT and we now know why he wanted everything hush, hush.
Not a single team would call him on it.
What a slimy thing for Ohtani to do, and shame on the teams that didn’t bring this to light. I hope Ohtani never gets a ring.
tonyinsingapore
Ohtani has a high school education. Players, generally, rise or die on the advice of agents…
tonyinsingapore
*ride or die
UncommonSense
A high school education does not preclude you from having good common sense or street smarts, or even knowledge that you’ve learned other places than an institute
Yosemite Lakes
All these ten year deals always work out and all of Dave Roberts Pitchers get Tommy John surgery. What could go wrong?
UncommonSense
Another old tired blame everything on Dave Roberts Cliché
tonyinsingapore
Dear Mr. Zaidi,
You are paid eight-figures to make things happen; not to make excuses. Is there some mystery that the public generally missed where the Giants only had to match the Dodgers offer???
UncommonSense
Exactly. Of course he’s going to pick the Dodgers over the Giants. If they offer them the same thing the Giants need to offer him something more.
sax332n86
Ohtani has spent 6 years playing for a losing franchise in California. Why would he want to sign on for 10 more for a different losing franchise? My guess is that he never seriously considered the Giants.
JoeBrady
IMO, this is kind of embarrassing for SF and the Giants. It is like being turned down for the prom and then telling everyone “I asked so-and-so, and she turned me down”. It is what it is, but I wouldn’t publicize it.
Pete'sView
Not at all. It happens all the time in baseball and other sports. It was acknowledged for the past two years that Ohtani was probably headed for the Dodgers.
Snellzilla #7
It’s very embarrassing. So is Yamamoto joining him in LA
unpaidobserver
If I was Zaidi Id say the same thing, since none of us will ever see the contract that was actually offered (if there even was one).
The619MetroPadres
As an insider I can say this article is pure hog wash. Signed- Matt, aka- Carp.
M.C.Homer
Who once said “the coldest winter I ever spent was a summer in San Francisco”.
I still get a kick out of people from out of state or out of the country who go to San Francisco thinking it’s Southern or inland California.
You’ll need a jacket in San Francisco in July, no joke
Snellzilla #7
Lol. I think Farhan is lying