In an announcement from himself and his young daughter, Frank Vatrano is committing to Orange County for another three seasons. In a quick follow-up from TSN’s Pierre LeBrun, Vatrano’s three-year pact will pay him $16MM in total but carries an uncommon method of deferred salary.
LeBrun shares that Vatrano will earn a base salary of $3MM each year of the deal with $9MM deferred. From 2035, Vatrano will earn $900K annually from the Ducks until 2044. LeBrun asserts that Vatrano plans to live outside of California in retirement giving him the flexibility to earn his annual disbursement in a tax-free state. Additionally, the creativity of the deferred salary brings Vatrano’s cap hit down to $4.67MM (instead of $6MM) which provides cost-savings to Anaheim.
Being primarily used in Major League Baseball, this is the most creative use of deferred salary in recent memory in the National Hockey League and may be a sign of things to come. There are increasing concerns that teams within states without an income tax have a competitive advantage over other teams, particularly in comparison to the Canadian market in recent years. The use of deferred salary by Anaheim may be a way to show players, particularly unrestricted free agents, that there are creative ways to dodge financial impediments.
For Vatrano’s part, it’s a healthy raise on his modest $3.65MM salary for the last three years. After a disappointing year with the New York Rangers, the Ducks signed Vatrano to a three-year, $10.95MM contract as an unrestricted free agent in the summer of 2022.
Subsequently, he’s enjoyed the two most productive seasons of his career. Vatrano scored 22 goals and 41 points in 81 games for Anaheim during the 2022-23 season finishing tied for third on the team in goal-scoring. Vatrano followed up that performance with the best season of his career scoring 37 goals and 60 points in 82 games last year shattering his previous record of 24 goals in 2018-19 with the Florida Panthers. 
Vatrano’s goal-scoring output has dissipated slightly this year with nine goals and 20 points in 37 games but he’s still proving to be a physical, offensive threat in the Ducks’ top-six. Unsurprisingly, the defensive side of Vatrano’s game is improving under head coach Greg Cronin’s hard-nosed system, with the veteran sniper managing the best 5-on-5 on-ice save percentage since his time with the Panthers.
The extension reflects Vatrano’s earnest commitment to a rebuilding organization. It also removes an important trade candidate from consideration as the deadline approaches. Vatrano’s style of play would be an asset to almost any contending team’s middle-six, but they will now have to seek such an advantage elsewhere.
Photo courtesy of USA Today Sports Images.