Did Andy Pettitte Reject the Yankees Offer?

There was a "report" today by a "person with knowledge of the negotiations" that Andy Pettitte rejected the Yankees $10 million offer. The offer, made by Brian Cashman in person at the end of the winter meetings, has been on the table for roughly a month. At the official unveiling of Mark Teixeira today, Peter Abraham posted quotes from Hal.  Said Hal:

“We’re still looking at it,” Steinbrenner said. “They were not happy with our offer and we were not happy with what they wanted. Anything is possible.”

Neither the Pettitte camp nor the Yankees have acknowledged whether or not Pettitte has rejected the offer. Then, in other non-Teixeira news today, the Yankees signed right-handed pitcher Jason Johnson to a minor league deal and commanded Phil Coke to start stretching and be prepared to pitch as a starter in spring training.  These aren't major moves but they certainly do indicate a team making alternative plans for their fifth starter. The cavalcade continued when Joel Sherman chimed in at the end of the day with this little nugget:

Andy Pettitte's chances to return to the Yankees have dropped precipitously because in the aftermath of the Mark Teixeira signing the organization is now strongly inclined to lower the $10 million offer that the lefty already has been resistant to all offseason, the Post has learned. Pettitte recently rejected the Yankees' latest $10 million overture, and now - barring a wave of sentimentality by the Yanks or significant change of strategy by either side - that dollar figure very likely will not be offered again. A reduced offer almost certainly would assure the end of the prideful Pettitte's second tour with the Yankees.

This is a heck of a lot to happen in one day in relation to Pettitte.  Almost too much.  First, the "report" that he rejected the deal.  Then a few minor moves to compensate for the fifth starters position.  Finally, a piece of news that the Yankees offer of $10 million "very likely will not be offered again." Well, if the offer was rejected, why would the amount of $10 million be offered again?  It's not often you hear this type of jargon in a negotiation: a player supposedly rejects an offer and the team leaks that they're going to

lower

their offer.  That obviously makes no sense. Unless Pettitte didn't actually reject the Yankees offer.  The rejection "report" floated out there was likely from the Yankees who have decided to back off of Andy at that price.  Pettitte certainly isn't a $16 million pitcher in this market and may not even be a $10 million pitcher, even for one year. The penny pinching continues amidst reports that Nick Swisher and Xavier Nady could be trade bait, possibly to free up some money.  It may be that the Teixeira contract was a bit of an extravagance and now Brian Cashman needs to trim some of the fat.  Or, Cashman may have decided if he has $10 million to spend on a fifth starter, he should shed more cash and put that money towards a pitcher who has a greater upside but might require a couple of years. Ben Sheets might fit that description and would be a great gamble for the back of the Yankees rotation.  If he's healthy, he could be lethal.  If he only pitches half a season, he will likely be very effective that half a season and will not cost the Yankees an arm and a leg.  The only downside is that the Yankees really need another innings eater and Sheets can't be depended upon for that.  Pettitte, despite late season arm issues, would likely get the Yanks 200 innings next season, albeit with questionable results. Regarding Pettitte, there is no reason for these negotiations to have taken this long.  If Andy doesn't want to take a paycut, that's nice but it's not realistic.  I don't think the Yankees want to take a performance cut from Andy either, but chances are that's exactly what would happen.  The free agent market has seen incredible drops in salary and as a 37 year old pitcher coming off a 98 ERA+ and 1.412 WHIP, Pettitte isn't ace material anymore.  Brian Cashman lacks the sentimentality to pay in 2009 for what happened in 1999.