JR Smith Likely to Re-Sign With New York Knicks

by June 26, 2012

JR Smith is looking for a big payday this summer, and according to several published reports, the Knicks are willing to provide just that. Per the NY Times: “J.R. Smith will decline his Knicks contract option Tuesday, but with the intent of re-signing under more lucrative terms, according to a person with knowledge of the situation. Smith’s option for next season is worth $2.4 million. As a free agent, he would be eligible for a 20 percent raise, to about $2.8 million, and he could earn up to $12.2 million over four years (including 4.5 percent raises). Alternatively, Smith could re-sign for one year, earn his ‘early-Bird’ rights and qualify for a salary of at least $5.3 million in 2013-14. Either way, opting out makes financial sense for Smith, a 26-year-old swingman. Under N.B.A. rules, Smith will qualify for a ‘non-Bird’ free agent contract. Therefore, the Knicks will not need to use their midlevel exception to re-sign him unless he demands more than $2.8 million. Nor will re-signing Smith have any effect on the Knicks’ ability to re-sign Jeremy Lin, Steve Novak or Landry Fields.”