Tom Brady will be staying with the Patriots through his age-40 season. On Monday, the team and Brady agreed to a three-year contract extension worth a relatively cheap $27 million. The extension, which runs through the 2017 season, has important ramifications for both the player and the Patriots.
Brady will now be owed $60 million over the next five seasons, and every single penny is guaranteed. He will be making significantly less money than his peers, but that's good for the Pats.
Prior to signing this extension, Brady was set to count $43.6 million on the Patriots' salary cap over the next two seasons, including more than $20 million next season. Now, he will count $28.6 million on the cap in those years and "just" $13.8 million in 2013.
Update: Since this original posting, some of the financial figures and details have changed. Per ESPNBoston.com, Brady's contract is worth a maximum value of $57 million, $33 million of which is guaranteed no matter what. The leftover $24 million is likely to be seen should Brady continue to perform at his expected level. The cap space generated from this deal remains.
That extra space is huge financial relief for the Patriots, and the popular thought tonight is they will use it to either re-sign Wes Welker or perhaps go after a big fish in free agency, such as Mike Wallace. If you want to know a little of what I think about Brady for the upcoming season, you can click here. But signing either of those two wide receivers would definitely improve his fantasy stock.