The Yankees and Andy Pettitte have agreed to terms on a one-year deal that is worth $5.5 million plus incentives, according to Peter Abraham.

The two sides are still working out the details, but it appears this contract could be worth as much as $12 million. The incentives are believed to be based on innings and days on the roster.

Until we find out what the exact details are, we cannot say if Pettitte acted foolishly when he turned down a previous one-year, $10 million offer. We can say that he has missed out on $4.5 million of guaranteed money, but, if the incentives are easily obtainable, he would earn himself an extra $2 million. Was it really worth going through all of this for such a small amount?

This now means the Yankees will be out of the Ben Sheets sweepstakes. It would have been nice, but Pettitte is a safer bet.

With the rotation now set at CC Sabathia, AJ Burnett, Chien-Ming Wang, Joba Chamberlain, and now Pettitte, the Yankees have as much depth as both the Red Sox and the Rays.

They also have plenty of young starters ready to go.