Right-handed Gerrit Cole will return to the Yankees, according to Jon Heyman of the New York Post on This deal gave Cole the option to opt out after 2024, but the Yankees were able to negate that opt-out by adding another $36 million season for 2029. He actually triggered this opt-out a few days ago, forcing the Yankees to decide whether or not they wanted to add the extra year. Essentially, they would decide whether to let Cole become a free agent or keep him for five years and pay $180 million. According to ESPN's Jeff Passan

Cole continued to perform at the top of his game through the first four years of the contract and it seemed like a slam dunk that he would trigger that exit, but the Yanks added the final year and kept him. That was the general consensus a year ago, when Cole won the 2023 American League Cy Young Award after posting a 2.63 ERA in 209 innings over 33 starts.

But a year later, a lot has changed, making each decision more interesting. Cole was sidelined during spring training this year with elbow inflammation. No structural damage was found, but his non-surgical rehab kept him on hold until June. He returned and had strong results, but not quite as good as before the injury.

He ultimately made 17 starts that year with a 3.41 ERA. There may have been some rust after the injury layoff, as he had a 6.75 ERA in his first four appearances, but a 2.67 ERA in his last 13. He then posted a 2.17 ERA in his five postseason starts.

In this injury-shortened season, there is some debate as to whether Cole should forgo the remaining four years and $144 million, but ultimately he was confident he would do so, forcing the Yankees to make a decision.

Cole was their ace, but there was at least some argument for letting him go. Generally, a free agent deal offers the best return on investment early on, while the later years tend to be more painful. Getting a chance to walk away before things start to hurt will have some appeal for a team, especially one that wants to bring back Powder-Dry Juan Soto.

Additionally, Cole's strikeout rate went down this year, perhaps due to the injury, but it was the fourth straight year to see that trend. In 2021, he struck out 33.5% of the batters he faced, 32.4% in 2022, just 27% in his Cy Young year and 25.4% this year. According to Statcast, each of his pitches in 2024 was about a mile per hour below the 23 level. Although his playoff results were good in the Yanks' attack on the World Series, he actually only struck out 17.7% of the batters he faced .

Without Cole, the Yankees would have entered the winter with one rotation Carlos Rodon, Nestor Cortes, Clarke Smith, Luis Gil And Marcus Stromanwith Will Warren and other views around the depths. They could have used the additional $36 million in payroll capacity to pursue Soto while also considering reuniting with Cole or perhaps pursuing younger free-agent starters Corbin Burnes, Blake Snell, Jack Flaherty or Max Fried.

It appears that while the two sides discussed some alternative agreements, they wanted more time to work them out, which is why Cole has essentially agreed to reverse his opt-out decision. He will remain on the Yankees' roster under the same terms as his previous contract, which would perhaps allow him and the Yankees to negotiate a new deal without the clock ticking on today's deadline for decisions on options and opt-outs.

At this point, it is unclear whether the two teams expect to negotiate a new contract soon or well into the offseason. If the latter is the case, the club will turn to other offseason priorities, most notably the desire to bring Soto back into the fold.

The key takeaway here is that Cole will continue to wear pinstripes and contractual matters will need to be resolved another day. With him back in the rotation, the Yankees may now consider further moves to expand their rotation. They reportedly had interest in Snell last winter and could return to him this offseason. They almost traded for Flaherty at the deadline and could pursue him as a free agent. There have been a few trade rumors surrounding Cortes this year that may resurface in the coming months. Stroman was moved to the bullpen late in the year and could make more sense on the trade block, allowing the Yankees to free up some salary for other pursuits.