Yankees Could Keep Pettitte, Damon, Matsui

After months of talk that the Yankees would only keep one of Johnny Damon and Hideki Matsui, Joel Sherman of the New York Post hears that the World Champions will try to re-sign both players, plus Andy Pettitte. The Yankees are more intent on retaining their own free agents than they are on acquiring Matt Holliday, Jason Bay or John Lackey. Yankees GM Brian Cashman would prefer to bring all three back on one-year deals to minimize risk. Teams might be reluctant to sign Damon - a Type A free agent - if the Yanks offer arbitration, because they'd lose a draft pick. But the Yankees would have to be prepared to pay Damon $15MM or so if they offer arbitration. Instead, they may try to work out a deal in the $10MM range.