June 27, 1983
MCHALE READY TO SIGN $7M OFFER FROM KNICKS
The New York Knicks are on the verge of signing free-agent forward Kevin McHale to a five-year, $7 million offer sheet, it was reported yesterday.
The New York Daily News quoted a high-ranking Knick official as saying McHale will sign the offer sheet as early as today.
A spokesman for the Knicks was unavailable for comment.
The Daily News said the guaranteed contract for the Boston Celtics' forward will call for $1.4 million per year plus a $3 million interest-free loan to be repaid during the life of the pact.
The Boston Herald reported yesterday McHale would earn $1.25 million annually plus the interest-free loan.
The Herald said the loan would amount to added income because of the almost $300,000 in interest McHale could earn from it in the first year alone. Knicks officials contend that such a move will not count against their salary cap because the $3 million would be repaid in full.
The offer, according to the Herald, also contains a trade penalty clause that would give McHale $650,000 if he is dealt.
Celtic general manager Red Auerbach told the Herald he doesn't think the NBA will allow such a deal because the Knicks would be ''circumventing the salary cap restrictions'' of $3.5 million set in the league's collective bargaining agreement.
MCHALE READY TO SIGN $7M OFFER FROM KNICKS
The New York Knicks are on the verge of signing free-agent forward Kevin McHale to a five-year, $7 million offer sheet, it was reported yesterday.
The New York Daily News quoted a high-ranking Knick official as saying McHale will sign the offer sheet as early as today.
A spokesman for the Knicks was unavailable for comment.
The Daily News said the guaranteed contract for the Boston Celtics' forward will call for $1.4 million per year plus a $3 million interest-free loan to be repaid during the life of the pact.
The Boston Herald reported yesterday McHale would earn $1.25 million annually plus the interest-free loan.
The Herald said the loan would amount to added income because of the almost $300,000 in interest McHale could earn from it in the first year alone. Knicks officials contend that such a move will not count against their salary cap because the $3 million would be repaid in full.
The offer, according to the Herald, also contains a trade penalty clause that would give McHale $650,000 if he is dealt.
Celtic general manager Red Auerbach told the Herald he doesn't think the NBA will allow such a deal because the Knicks would be ''circumventing the salary cap restrictions'' of $3.5 million set in the league's collective bargaining agreement.