New York Yankees Sign Nick Johnson, End Johnny Damon Era

ESPN.com’s Buster Olney, via Twitter , is reporting that the Yankees have signed 1B Nick Johnson to a one-year, $5.5 million contract. The deal also includes a mutual option for 2011 for $5.5 million.

Signing Johnson essentially ends the Damon era in the Bronx.

Damon played the same game Jason Bay tried to play with the Red Sox. Both thought they were being undervalued by their current team and wanted to get paid what they thought their market value was.

It’s fine for them to try to get what they think they deserve, but you can’t strong-arm a big market team that isn’t desperate to sign you. It just doesn’t work.

CC Sabathia was able to strong-arm the Yankees last season because the Yankees were desperate to sign him. Their entire offseason last year was based on signing Sabathia. That is why Sabathia was able to get one more year and $20 million more out of Brian Cashman.

If a big market team is not desperate to sign you, then they will just find other options. The Red Sox found Mike Cameron and the Yankees now have found Johnson.

Johnson is more than an adequate replacement for Damon in the Yankees’ lineup. Johnson will serve as the primary DH and hit second for the Yankees in 2010 and it looks like Melky Cabrera will be the Yankees’ left fielder.

Johnson hit .291 with eight home runs and an .831 OPS in 133 games for the Washington Nationals and Florida Marlins in 2009. By comparison, Damon hit .282 with 24 home runs and an .854 OPS in 143 games for the Yankees last year.

So for $7.5 million less than what Damon was asking for ($13 million, the same amount he made last year), the Yankees got a very comparable player.

Johnson played three years for the Yankees from 2001-2003 and has played eight seasons in the major leagues. He has a career .402 OBP, which is ninth amongst active players.

And for those of you who are concerned with the loss of Damon’s power in the Yankees’ lineup, remember, Damon’s power surge in 2009 was greatly influenced by the joke that is the new Yankee stadium.

Johnson could hit 10-15 home runs in that ballpark.

Last year, the Yankees paid Hideki Matsui and Damon a combined $26 million. Their replacements in 2010–Curtis Granderson and Johnson are making a combined $11 million.

The Yankees could get more value out of Granderson and Johnson both offensively and defensively than they did out of Matsui and Damon and in the process save $15 million.

Not a bad deal for the Yankees.

You can follow The Ghost of Moonlight Graham on Twitter @ theghostofmlg