Found February 10, 2012 on Sliding Into Home:
From the NY Daily News:
In an effort to rid themselves of underperforming pitcher A.J. Burnett, the Yankees are turning to a familiar trading partner.

A team source confirmed Friday that the Yankees have held discussions with the Pirates about Burnett recently, with the understanding that the Bombers would have to absorb a "significant" portion of the flighty righty's contract, which has two years and $33 million remaining.

...

One source termed the trade talks with the Pirates as "still in the preliminary stages," but the Yankees clearly believe that the more money they pay the better the prospect they will demand in return. ESPN.com reported that the Yankees request for first baseman/outfielder Garrett Jones already has been rebuffed by the Pirates who are seeking to add a veteran presence to a young pitching staff.

It was also mentioned in the article that the Yankees would use the money saved by trading AJ to sign a bat to fill the DH role (Ibanez, Damon or Matsui), and that the Yanks are still considering bringing Eric Chavez back.

It'll be interesting to see how this plays out, and if they can unload AJ for anything of even a little value I would assume most Yankees fans would be pretty pleased.
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