Major League Baseball’s signing period for international prospects kicked off on Wednesday and will continue until June 15, 2015. Teams may sign players residing outside the United States, Canada and Puerto Rico who have or will turn 16 by September 1 of this year. Just a few years ago, teams were allowed to spend as much as they wanted to develop and sign international prospects. That all changed with the current collective bargaining agreement, which went into effect in 2012.
The CBA imposes bonus pool limits on international signings. The team with the worst winning percentage in the prior year receives the largest bonus pool for the next year. The team with the best winning percentage receives the smallest. The remaining 28 teams fall in between, again according to their winning percentage from the prior season. International players who are 23 years of age or older, and have played professional baseball for five or more years, are exempt from the bonus pool limits. Click here for the list of bonus pools by team, with the Houston Astros on top with $5,015,400 and the St. Louis Cardinals at the bottom with $1,866,300.
In additional to the bonus pools, MLB also assigns slot values for international prospects, even though there is no international draft. But the slot values are tradeable, and are therefore valuable for teams looking to spend more on international prospects than their assigned bonus pool would allow. A team can trade for up to 50% of its bonus pool, but it must trade for a specific slot value. For example, a team with a $4 million bonus pool can trade for up to $2 million in pool space, but it must receive in return specific slot values that add up to $2 million, or less. Click here for the list of 120 slot values assigned to each team. The Astros have the top slot value of $3,300,900 and the Cardinals have the lowest at $137,600.
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