It’s official now, the Yankees have declined the 2009 contract options of Jason Giambi ($22 million) and Carl Pavano ($13 million). The Big G will receive a buyout of $4 million. Pavano receives $1.95 million.
The Yankees can sign either player to a new deal if they want. That is unlikely.
Curiously, the Yankees did not announce their intentions regarding Damaso Marte, who has a $6 million option. That suggests they may in the process of trying to sign him to an extension.