Cardinals sign receiver DeAndre Hopkins to a new five-year deal
When the Texans traded receiver DeAndre Hopkins to the Cardinals, he had three years left on his existing contract. The Texans traded him in large part because he wanted a new deal.
He finally has gotten one.
Some, including the person who broke the story, are calling it a two-year, $54.5 million extension with a whopping $27.25 million new-money average. Others, including someone who didn’t break the story, are calling it a five-year, $94 million contract, with an $18 million average at signing.
The last year reportedly is voidable, which could make it a one-year, $39.585 million extension. Or, as the case may be, a four-year, $79 million contract. It’s currently unclear what will be needed to cause the final year of the contract to void.
The deal also reportedly includes a no-trade clause and a commitment not to apply the franchise tag to Hopkins.
The difference in the two characterizations of the contracts underscores the inherent differences between the new-money analysis and the analysis of the value of a contract at the time it is signed. No player signs an extension; he signs a new contract that replaces the old one. That’s what Hopkins will do, transferring a three-year commitment into a five-year contract that potentially could become a four-year deal.
So it’s a two-year, $27.25 million extension which pushes the total value to $94 million over five years ($18 million per year) or $79 million over four years ($19.75 million per year).
Ultimately, Hopkins is a Cardinal because the Cardinals did what the Texans wouldn’t do: Rip up the three-year contract and replace it with a new five- or four-year deal.