Phil Hughes and the Yankees have agreed to a one-year deal worth $3.2 million, avoiding arbitration.
Hughes had a disappointing 2011, as injuries limited him to just 75 innings and he posted a 5.79 ERA, but he made $2.7 million and would have been in line for a decent-sized raise if the two sides went to a hearing.
His role for this season isn’t entirely clear after the Yankees traded for Michael Pineda and signed Hiroki Kuroda, because one of Hughes, Freddy Garcia, or A.J. Burnett will seemingly have to be the odd man out in the rotation.
Hughes has bullpen experience, spending most of 2009 as a reliever with lots of success, and taking him out of the rotation–at least initially–could also be a way to avoid doubling his workload following back problems and arm fatigue.