Byc Rules Makes Smith Darn Near Impossible To Trade.

[mrhonline]

I won't go into a discussion of BYC rules, but there are some things everyone needs to be aware of re: a sign-and-trade of Smith:

1. A third team (e.g., Memphis) would almost certainly have to be involved if you want to minimize the number of players involved.

2. If Smith indeed wants and would get 6 years, $72M, the Hawks would have to tag along nearly $14M in salary to overcome the BYC restrictions (in a two-team trade).

You really only have two options for reaching that number:

1. Including Bibby.

2. Combing Zaza, Claxton, and Marvin.

Either way, you'd have a WHOPPER of a trade.

So, you have the following options:

1. Bibby/Smith S&T's. You would have to have a starting PG coming back, so that drastically reduces the possibilities. (Detroit sticks out).

2. 3-way trades with enough incentive for Memphis to get involved. (Good luck with that).

3. Expect Smith to take the QO.

4. Cross your fingers that the two sides come to a compromise.

[emplay]

Add Claxton and it's not very difficult - if a team is willing to take him on. For instance Smith + Claxton for Odom

[mrhonline]

Add Claxton and it's not very difficult - if a team is willing to take him on. For instance Smith + Claxton for Odom

That trade doesn't work.

[emplay]

yes it does -

Odom = $14,148,596

to match the Hawks have to be credited with sending out $11,238,876.50 in salary. That multipled by 125% + $100,000 = Odom's $14,148,596

Josh Smith at $10,962,117 starting salary counts as $5,481,058.50 to the Hawks (technically i'm not sure if the NBA rounds up or down the 50 cents - I'll have to look into that)

Speedy is $5,757,818

For the Lakers their incoming salary needs to be less than or equal to Odom's salary * 125% + $100,000

The combination of Smith + Speedy = $16,719,935

That easily works for the Lakers since the max they can take in for Odom is $17,785,745

For the Hawks, the combination of Smith accouting for byc ($5,481,048.50) + Claxton totals $11,238,876.50

As I noted above - that's the number the Hawks need to send out

In other words - it's legal.

[DrReality]

But if he really wants out of Atl then he will consider a contract for less than the six years. That could be in our favor, especially if he sees he will be going to a team that is playoff bound.

[mrhonline]

Josh Smith at $10,962,117 starting salary

And therein lies the problem. You have Josh Smith making over $80M over six years.

That's not going to happen. But, if you lower the value of his contract to a more reasonable number, the trade no longer works.

[emplay]

another team may or may not overpay to get Smith - the point being it is possible and therefore legal - it becomes a judgement of whether or not they do that - which is subjective and unknown - but possble? that's proven. Likely? who knows?

[Trueblood]

It was mentioned above that a 3rd team that is below the cap would have to be involved. That's an easy way to get around byc but it doesn't necessarily have to be that way. If 2 over the cap teams throw in enough salaries, byc can be offset. It happened when Charlotte signed and traded Eddie Jones in the summer of 2000. He went from making $2 million to making $9 million. Charlotte was capped out and he became byc but with PJ Brown, Mashburn, Mason and a few others switching teams, enough salaries offset the byc. Let's assume Smoove's base year is $9 million and hoopshype is correct in their salary numbers.....

Smoove 9 and 4.5 byc

Speedy 5.7

Zaza 4.0

That gives the Hawks a total of 18.7 byc and 14.2 regular

Let's say that they want to get Lamar Odom from the Lakers. They could throw in Chris Mihm to offset the byc. Here's how their numbers would be.

Odom 14.5

Mihm 2.5

For a total of 17 million

Now, 17 million is wedged between both Hawks' numbers of 18.7 and 14.2 and it comes within 25% and 100,000 of both so the trade works.

[emplay]

i broke it down above - in your example though - the Hawks give up what little they have at center - can't see that. Plus LA doesn't need Zaza - they're looking to bring back Kwame and already have Bynum, Mihm and Gasol.

The simplest deal is usually the most likely - you'd probably need to take out Mihm/Zaza - but as I detailed - Odom for Smith/Claxton works just fine 2-way

[DrReality]

Same situation with Okafor:

BYC Complicates Okafor Sign-and-Trades

Posted: 7/27/2008 6:11:00 AM

Source: Charlotte Observer

I had an interview with Bobcats general manager Rod Higgins Friday, and the most enlightening thing he said was how difficult it would be to get fair value for Emeka Okafor in a sign-and-trade.

Higgins mentioned how the base-year compensation rule gets in the way (the Bobcats could take back roughly half of what Okafor’s new salary-cap number would be.) Also, it’s never easy to swap a young big man for a comparable part.

Translation: The Bobcats don’t want to be cornered into giving up Okafor in sign-and-trade. So maybe it’s possible they’ll just wait for Okafor to sign the one-year qualifying offer and see how this evolves.

There would still be opportunities to get something for Okafor, whether at the trade deadline in February or next summer. They’d lose some protection once Okafor becomes an unrestricted free agent (as the Clippers did with Elton Brand and the Warriors did with Baron Davis), but working with the Bobcats on a sign-and-trade NEXT summer could still be the best way to maximize what Okafor makes in a long-term deal.

The question becomes how Okafor would respond to being a short-timer in Charlotte. He’d be in a contract year, which often brings the best out in players. But he’d also be one season away from being somewhere else.

[Trueblood]

i broke it down above - in your example though - the Hawks give up what little they have at center - can't see that. Plus LA doesn't need Zaza - they're looking to bring back Kwame and already have Bynum, Mihm and Gasol.

The simplest deal is usually the most likely - you'd probably need to take out Mihm/Zaza - but as I detailed - Odom for Smith/Claxton works just fine 2-way

I guess you're right but they wouldn't have Bynum, Mihm and Gasol as Mihm would be on the Hawks in my proposed deal. Those numbers are really close though. I guess if they are off a bit, it could still be done provided the Hawks have a trade exception but they don't.

I guess it all comes down to how accurate the numbers are. If hoopshype or your contacts are giving us legit data then it barely works. I merely threw in Zaza and Mihm so as to give the deal some breathing room in case the numbers we are giving are actually off a bit in reality.

Oh yeah, thankfully the NBA increased the trade gap from 15% to 25%. If it's still 15%, this deal would be very hard to do without a 3rd team involved.

[emplay]

The HoopsHype numbers are not accurate - I get mine from a league source - I mentioned it in a different thread but I'm a reporter for HOOSPWORLD.com

[NJHAWK]

Can someone clear up a BYC question for me. I realize if the Hawks trade Smoove they can only take back half of his new salary. Lets say we were to trdae Smith for Hedo Turk on the Magic. We will say for argument Smiths salary starts at 14 mill a year meaning the Hawks can take 7 mill back. Since Turkalo makes about that can this trade take place? OR is what makes the byc trades so hard the fact that the Magic cannot take back 14 mill in salary if they are only giving up a player making about 7 mill? Thats what I dont understand. If Smoove can only bring back half of his salary in a trade does he only count at half his salry when being traded to the other team?

[emplay]

well first of all th maximum he can get paid at this point is $13,758,000.

With that - the Hawks can bring back a maximum of $6,879,000 * 125% + $100,000 = $8,698,750

The Magic would be credited with bringing in $13,758,000 in salary.

To bring in that much they would have to send out a minimum of $10,926,400 in salary.

The Hawks can't bring in that much - so you have a problem.

If you add Speedy - it changes the numbers some - and opens up a window within a specific margin that might work for some teams.

[Trueblood]

Can someone clear up a BYC question for me. I realize if the Hawks trade Smoove they can only take back half of his new salary. Lets say we were to trdae Smith for Hedo Turk on the Magic. We will say for argument Smiths salary starts at 14 mill a year meaning the Hawks can take 7 mill back. Since Turkalo makes about that can this trade take place? OR is what makes the byc trades so hard the fact that the Magic cannot take back 14 mill in salary if they are only giving up a player making about 7 mill? Thats what I dont understand. If Smoove can only bring back half of his salary in a trade does he only count at half his salry when being traded to the other team?

The difference with byc is that you need to match 3 numbers as opposed to just 2. When no byc is involved, a player making 12 million can match with a player making 14 million. Like Emplay is saying, it is tough to match those 2 players if one is byc. Let's say the 14 million guy is byc. He would have a byc number of 7 and an actual salary number of 14 so you would have to match 7 with 12 with 14. Like I said earlier, 12 and 14 would work but 7 and 12 doesn't.

Now if you add Speedy, like Emplay is saying, you have larger numbers with which to work and that makes it easier for you to get within 25% on 3 different numbers.