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Rockets sign James Harden to largest contract extension in NBA history

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In 2015, Damian Lillard signed a contract extension that – once he made All-NBA in 2016 and the 2016-17 salary cap landed even higher than expected – became worth $139,888,445 over five years.

James Harden will surpass than on a four-year extension.

Rockets release:

Houston Rockets Owner Leslie Alexander announced today that the team has signed guard James Harden to a four-year contract extension which will run through the 2022-23 season.

“It’s my pleasure to announce we’ve reached agreement with James Harden on a long term contract extension.  Since he arrived in Houston, James has exhibited the incredible work ethic, desire to win, and passion to be the best that has made him one of the most unique and talented superstars in the history of the game,” said Alexander.  “Additionally, the commitment he has shown to our organization, the City of Houston, and Rockets fans all over the world makes him a perfect leader in our pursuit of another championship.  I’m very happy for James, his mother Monja, and their family on this exciting day.”

“Houston is home for me,” said Harden. “Mr. Alexander has shown he is fully committed to winning and my teammates and I are going to keep putting in the work to get better and compete for the title.”

Harden will earn $28,299,399 and $30,421,854 the next two seasons. An extension would kick in for 2019-20, and the exact amount of a max extension won’t be known until that season’s cap is determined.

The latest projection: $169 million over four years.

The Rockets were always going to offer this megadeal. The only question was whether Harden would sign now or wait another year, when he could add five years and a projected $219 million to his current contract as long as he made an All-NBA team next year. (The salary structure over the first four years would be identical to what’s on the table now.)

Harden is Houston’s franchise player – providing not only superstar production, but a superstar presence that lures other stars. The Rockets and Harden have built their identities around each other, a mutual commitment solidified by this landmark extension.

This is in part a message to Chris Paul: Stay in Houston, and Harden will be there. Paul, an unrestricted free agent next summer, will know completely what he’d be buying into.

To some degree, “largest extension in NBA history” is an arbitrary designation. Stephen Curry signed a new five-year contract worth $201 million.

But this is emblematic of the relationship between Harden and the Rockets. Harden was already paid plenty (leaving no incentive to delay an extension and use a low cap hold), and Houston is committed to Harden (meaning no delay in locking him up longer). Now, Harden is reciprocating that faith in him – and earning a lot of money.

As Sunday winds down, Miami heats up talk of Jimmy Butler trade

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There has been much speculation over the past 48 hours about where disgruntled Minnesota Timberwolves star Jimmy Butler will end up once owner Glen Taylor finds a suitable trade partner for him. We have already discussed at length where Butler might fit best, and Sunday morning saw an influx of new teams ready to come to the Timberwolves with an offer now that it is known that Butler is on the table.

As Sunday came to a close, it became apparent that yet another team is trying to work their way into the Butler sweepstakes.

According to multiple reports, the Miami Heat have been active and are trying to get a deal done for Butler. Once thought of as a middle-of-the-pack suitor, the Heat have apparently been one of the more engaged teams as a deal for the Timberwolves guard is sought before the team opens training camp on Tuesday.

Via Twitter:

Miami joins the Washington Wizards, Portland Trail Blazers, Brooklyn Nets, Detroit Pistons, Milwaukee Bucks, Los Angeles Clippers, Houston Rockets, Philadelphia 76ers, and Cleveland Cavaliers in teams looking to exchange parts for the next season on Butler’s contract.

No doubt league GMs are trying to weigh the risk vs. reward when it comes to Butler. His contract has a player option for the 2019-20 NBA season, which he will almost certainly opt out of in order to become a free agent. That means that without a guarantee that Butler will re-sign, any team trading for him will need to be careful with what young assets they leverage for the present.

For example, one report out of Portland says that the Blazers are unwilling to give up who they see as their young main core for a one-year rental on Butler. Damian Lillard, CJ McCollum, and Jusuf Nurkic are all off the table for the Blazers.

We still don’t know what the asking price for Butler will eventually be, or how the Timberwolves prioritize getting a solid return for him vs. shipping him outside of the Western Conference. For now, we have to wait and see what happens.

At least until Tuesday.

Elton Brand on 76ers contending for a championship: ‘I think we still need a piece’

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Elton Brand last played in the NBA in April of 2016. Now, in September of 2018 he is the general manager of the Philadelphia 76ers.

The 17-year NBA veteran helms one of the best young teams in the NBA, and takes over a GM position that has previously been under turmoil. Brand has perhaps been blessed with the departure of LeBron James from the Eastern Conference, but so too will other teams try to take over that perennial top spot.

The Boston Celtics have similar assets to Philadelphia, with proven stars mixed with an excellent supporting cast and young players who could develop into stars themselves. The Toronto Raptors are a very good team who just added a Finals MVP in Kawhi Leonard. The road ahead will be tough.

But the Sixers still have cap space and they are still looking for a third star to fill a necessary role on their team. Brand said as much during a recent appearance on ESPN, and from all indications it looks like he’s not going to be shy about pulling the trigger either in free agency or in the trade market if he feels he can solidify the Sixers’ position in the east.

Via ESPN:

Everyone talks about free agency, but we may have to pull the trigger on something else before free agency. If we feel we can’t get one of those stars that I can’t name. I still think we need a piece. We’re close. If you ask Joel [Embiid] we have enough and if you ask Ben [Simmons] we have enough, because that’s the chip they have on their shoulder … they don’t want to hear that, but I think we still need a piece.

Brand went on to say that he felt like development was also important in this process, and that it’s possible that Philadelphia has their additional star in Markelle Fultz, Dario Saric, or both.

Philadelphia has reportedly been one of the teams that has jumped into initial conversations with the Minnesota Timberwolves about trading for Jimmy Butler. Whether or not Butler is the right move for the Sixers notwithstanding, that Brand appear is ready to wheel and deal certainly is interesting.

Anthony Davis picks new agent, signs with LeBron James’ rep Rich Paul

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The NBA offseason isn’t over just quite yet, so people are naturally ready to jump at any rumor they can get their hands on. On Sunday, it was announced that New Orleans Pelicans big man Anthony Davis had signed with Rich Paul’s Klutch Sports Group, and the Twittersphere exploded.

Davis, 25, has two seasons left on his current contract until he can use a player option to end his deal early and choose another location if he pleases.

Of course, the rampant speculation here — which is baseless, I might add — is that Davis could be looking to jump ship from the Pelicans, with Paul helping to create pressure for such a deal.

Via Twitter:

There is some speculation that Davis could become trade bait as soon as next summer if the Pelicans fail to meet the expectations foist upon them after their first round sweep of the Portland Trail Blazers during last season’s playoffs. New Orleans no longer has the talents of DeMarcus Cousins, although they played spectacularly without him following his Achilles injury going into the end of the year. The West got tougher, and the Pelicans will also have to play without Rajon Rondo, currently of the Los Angeles Lakers.

The coming season will be Davis’ seventh in Louisiana, and it has long been rumored that he could be a trade prospect or might want to sign in a different market. Signing with Klutch Sports Group puts Davis at the center of speculation that he could join LeBron James on the Lakers, as James is a good friend of Paul and a fellow Klutch client.

Players exchange agents all the time, and just because an agent has a specific track record doesn’t mean that anything is set in stone. The NBA is weird like that. However, It’s not completely unreasonable to raise an eyebrow at Davis joining up with Paul after leaving longtime agent Thad Foucher earlier in September. What Paul does have a rep for is getting his players paid handsomely, which is probably the main thing Davis will be looking for.

New Orleans can offer Davis the vaunted super max contract once he is up for an extension.

New lottery rules change tanking incentives, starting this season

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This is the latest of NBC’s NBA season preview stories, and we will post at least one a day on these pages until Oct. 16, when the NBA season kicks off. We will look at teams and topics around the NBA throughout the series, and today we focus on the impact of the new lottery odds.

To paraphrase Jerry Tarkanian, the NBA is so mad at the 76ers, it’ll keep the Hawks losing another couple years.

The NBA finally enacted lottery reform that will take effect this season. The measures appeared designed to curb Sam Hinkie’s ambitious multi-year tank, but Philadelphia has already reaped the rewards of The Process. The 76ers, led by former high draft picks Joel Embiid and Ben Simmons, are one of the league’s top teams and extremely unlikely to land in the lottery. It’s the next generation of losing teams, like Atlanta, that will feel the brunt of these changes.

Generally, the new rules reduce incentives to chase the league’s worst record. The very-bottom teams face greater variance and worse expected outcomes than previously. The top six seeds in the lottery became less valuable than before, the 7-14 seeds more valuable than before.

In the previous system, the three worst teams had 250, 199 and 156 of 1,000 lottery combinations. The top three picks were drawn then the next 11 picks were slotted in reverse order of record.

Now, the three worst teams each have 140 of 1,000 lottery combinations. The top-four picks are drawn then the next 10 picks are slotted in reverse order of record.

There are several ways to measure the changes, but here a few based on lottery seed in the old system (orange) and new system (blue):

Odds of No. 1 pick:

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Odds of top-four pick:

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Expected pick:

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The “big” change is the bottom three teams all have the same odds of getting drawn, creating an illusion there’s no difference between finishing last or third-to-last. But the last-place team still gets slotted ahead of the second-worst and third-worst (and second-worst ahead of third-worst) if none get drawn in the lottery.

Simply, teams are still incentivized to chase the league’s very worst record. The incentives aren’t as strong as they once were, but they still exist.

And the upside remains just as high. Top draft picks are so valuable – a chance to add elite young talent on a relatively cheap contract that comes with five years of team control that, practically, extends much longer.

So, how will teams handle this changing structure?

Decisions will be fascinating among more than just the lowest of cellar-dwellers. Several teams have traded first-round picks this season that contain protections within the lottery. The Mavericks owe the Hawks a top-five protected first-rounder. The Cavaliers owe the Hawks a top-10-protected first-rounder. The Grizzlies owe the Celtics a top-eight-protected first-rounder. The Nuggets owe the Nets a top-12-protected first-rounder. Those owing teams all face a new batch of decisions of when to give up on trying to make the playoffs and aim to keep that pick.

I mostly share the view that lottery reform won’t change much, particularly on a year-to-year basis. But the cumulative effect could be larger on some teams.

Hinkie’s 76ers were an anomaly. Few teams set out to tank for that long. Many more tanked for a season, knowing that would result in a high draft pick. With a new touted prospect in hand, those teams usually attempted to ascend.

But now, far less is guaranteed. Before, the second-worst team was likely to land a top-three pick and was guaranteed a top-five pick. Now, the second-worst team is likely to pick between No. 4 and No. 6. In that lower range, the team might get stuck with a lesser prospect who leaves it stuck losing again the following year.

At minimum, lottery reform adds uncertainty to a league that had grown familiar with the previous system and how teams proceeded within it. We can all guess how teams will act in the new system, but this season will provide much more tangible clarity.