The Utah Jazz and New York Knicks have been engaged in ongoing discussions for weeks regarding a potential trade involving two-time All-Star Donovan Mitchell.
The Knicks’ front office issued a deadline of Monday to the Jazz to come to a deal that would send Mitchell to New York, or the Knicks would commit to a high-value extension for 22-year-old R.J. Barrett, according to league sources.
The Jazz understood the terms of that deadline, and did not come to an agreement on a trade after discussions on Monday. The Knicks then turned to finalizing an extension for Barrett that could be worth $120 million.
ESPN’s Adrian Wojnarowski was first to report the details of the extension.
What bearing would a Barrett extension have on a deal that could be done between the two teams?
Well, it depends on if the Jazz want Barrett included in the deal, which has been a hard point to nail down, depending on who you ask.
After Barrett’s extension is finalized, the outgoing salary from the Knicks would be his current $10.9 million, but salary required in return for Barrett would be $26.2 million, the average of the last year of his current deal and the four years of the extension salary. This is what is known as a “poison pill” provision.
Getting a third team involved to move salaries in a way that makes sense would make it possible for Barrett to be included in a deal, but the Jazz could also choose to move forward on a deal that doesn’t involve Barrett.
Sources familiar with the negotiations have indicated that there is still a chance that a deal between the Jazz and Knicks can be reached before training camp opens in late September, though right now it seems that both sides are playing hardball.