When the Philadelphia Eagles signed Jason Peters to a contract extension two weeks ago, it was reported the new deal is worth $32.5 million with $15.5 million guaranteed.
The exact structure of the left tackle’s deal, however, has not been available ... until now. Here’s a breakdown of Peters’ contract per Over The Cap (hat tip to Jimmy Kempski).
Cap number: $6,916,666
Dead money: $13,000,000
Cap savings if cut/traded: -$6,083,334
Cap number: $11,666,666
Dead money: $6,333,334
Cap savings if cut/traded: $5,333,332
Cap number: $10,666,668
Dead money: $2,666,668
Cap savings if cut/traded: $8,000,000
Prior to Peters’ extension, the Eagles could have cut him after 2017 for a savings of $10.25 million compared to only $1 million in dead money. Now they can only save $5.3 million compared to $6.3 million in dead money. Peters is more realistically cuttable in 2019 when the Eagles would save $8 million compared to only $2.7 million in dead money. Peters will turn 37 years old in January 2019. (Note that if he retires at some point, that decision will have the same effect as the team cutting him.)
All of this means the Eagles gave Peters more commitment than he previously had, which is what he wanted. There’s risk involved here since the 35-year-old Peters has dealt with some nagging injury issues in recent years. Peters has only missed two starts in the past four seasons, but he’s left some games early due to injury.
The good news about the Peters extension is that it helps the Eagles free up some cap space in 2017: roughly $4.7 million. Philadelphia was tight up against the cap so this gives them some more room to work with. Even if the Eagles don’t want to use that space this year, they can roll it over into next year.
Again, there’s some risk in giving more guaranteed money to an aging player such as Peters. But there’s value in rewarding a future Hall of Famer who everyone on the team loves and respects. Not to mention the fact he’ll be protecting the blindside of the player who is most imperative to the organization’s overall success: Carson Wentz.
And when you look at Peters’ annual value, it’s arguably a bargain. In terms of average annual value, Peters is the 24th highest paid offensive lineman in the league at $9.08 million. As more players continue to get paid, he’ll only drop on that list.
The Eagles are counting on Peters to play one more season at the very least, and quite possibly two. Peters was a good starter in 2016. We’ll see how long he can keep it going.