Derek Jeter signed a three-year contract this winter when he re-signed with the Yankees, but a lot of people called it a four-year contract. The reason is because while it is technically a three-year pact, it does include a fourth year player option. One that everyone believed he would pick up.
Even Jeter himself has expressed that he fully plans on picking up the option.
Asked about the fourth-year option, Jeter said, “That’s my option, buddy.” He fully expects to play that fourth year.
The way Jeter’s contract breaks down, he will be paid $15 million in 2011, $16 in 2012, and 17 in 2013. His player option is worth a base of $8 million, but it could potentially reach as high as $17 million if he reaches certain plateaus at the plate.
He does have a $3 million buyout if he does not exercise the option. Jeter could potentially try to go that route and re-negotiate another deal with the Yankees, but he’ll be entering his 40’s by that point and the player option may be more valuable.