Via Buster Olney of ESPN:
"Russell Martin‘s negotiations have reached the point where teams are making offers to his agent, Matt Colleran; NYY, Bos center of mix."
At this point, it seems clear that the Yankees are interested in signing Martin as their backup and an upgrade over Francisco Cervelli.
Now, it seems to be coming down to who makes the highest offer. Martin has already turned down a one-year deal worth $4.2 million with another $1.1 million in incentives.
There is a very real possibility that the Yankees are not that interested in signing Martin, but are just looking to mess with the Red Sox. The Red Sox have two weak options behind the plate in Jason Varitek and Jarrod Saltalamacchia, and signing Martin would be a big upgrade over both of them.
This very well could be a response to the Sox offering a three-year deal to Mariano Rivera.