ESPN's Buster Olney is reporting that Andy Pettitte will return to the Yankees on a one-year contract with an option for 2008.
The Houston Chronicle says it's a $16 million contract with a player option for 2008. The Astros seemed to know this was coming when they attempted to trade for Jon Garland. Hopefully, they at least improved their one-year, $12 million offer, an especially preposterous figure given that Garland is due $22 million over two years. The Yankees aren't exactly getting an ace here -- in his final six seasons in New York, the only year in which he had an ERA under 3.99 was one in which he was limited to 22 starts -- but Pettitte is a better bet than Ted Lilly and Gil Meche, even before accounting for the fact that he didn't require a long-term commitment. The club may now seek to dump as much of Carl Pavano's contract as possible. Also, it seems quite likely that Scott Proctor will remain in the pen.