The A-Rod deal is dead for the time being. Here’s part of Thomas Boswell’s take on the situation:

The union had to be able to say, with a straight face, that the contract had been "restructured," not "reduced." After all, the A-Rod deal set the standard for the whole industry and, to an extent, impacted every other players' salary, especially in arbitration cases. On the other hand, Orza, a close friend of Rodriguez, freely acknowledged that the union, as long as it wasn't stabbing its members in the back, owed it to an individual player such as Rodriguez to let him pursue his bliss as well as a buck.

Orza claims he explained all this to Lucchino and stressed, "Just do not abuse the principle" of restructuring vs. reducing. The union is touchy these days because player salaries are trending down this winter, not up.

Here’s my two cents–A-Rod, if you wanted to play for a winner, you should have signed with one. You should have realized that your 1/4 Billion (yes, that’s Billion with a B) dollar contract has just ended your chances of playing for a team that has a great shot at playing in the World Series. If you really wanted to play for a winner, you would turn against the player’s union. Since you didn’t, tough beans. I hope the money is satisfaction enough to conform you in September when the Yankees and the Red Sox are battling in the playoff you sit at home.