The Orioles have traded starting pitcher Yovani Gallardo to the Seattle Mariners for veteran outfielder Seth Smith, the team announced Friday.
For the first time in several years, the Orioles entered the offseason with a surplus of starting pitching _ six established arms for five rotation spots _ and executive vice president Dan Duquette said that he relished the starting pitching depth the club potentially possessed entering spring training.
But in the midst of another slow-developing Orioles offseason _ and an even more methodical free-agent market _ the club came to the realization that shopping one of their starting pitchers could be one of the best ways to improve in other areas.
And with the Orioles focused on upgrading their corner outfield spots _ preferably with a left-handed bat _ the opportunity to acquire Smith for right-hander Gallardo and cash considerations was a move the Orioles were willing to make.
In acquiring Smith, the Orioles get a career .261/.344/.447 hitter who hits right-handed pitching exceptionally well _ he owns a .272/.355/.472 hitting line against right-handers _ and gives the club a component they lack in terms of drawing walks and working at bats.
"Seth Smith is a veteran leader, good on-base man and proven hitter," Duquette said in a text message. "We look forward to his contributions to the 2017 Orioles."
Smith, 34, fits the Orioles' power profile _ he hit 16 homers last year while driving in a career-high 63 runs for the Mariners _ and he struck out 89 times in 378 at bats. But he also drew 48 walks and his .342 on-base percentage in 2016 would have ranked third among Orioles starters behind Hyun Soo Kim and Manny Machado.
Smith would likely remain a platoon piece _ he had seen most of his playing time against right-handed pitching over his career _ and will likely see most of his playing time in right field. But he can also fill the designated hitter spot and play left field and first base, so he adds significant defensive flexibility.
As important as the addition of Smith is, the trade also could foreshadow further movement by the Orioles this offseason.
The move provides added payroll flexibility. Even though the Orioles included money in the deal, it will save the club $4 million in payroll _ according to an industry source _ which could potentially allow the team to make another acquisition this offseason. The Orioles' offseason has been focused on retaining slugger Mark Trumbo, but the reigning home run leader remains a free agent.
The Orioles signed Gallardo to a restructured two-year deal guaranteeing him $22 million last spring training after an initial agreement was squashed because of the team's concerns about Gallardo's shoulder that emerged in the club physical exam.
The Orioles still owed Gallardo $13 million _ an $11 million base salary for 2017 and a $2 million buyout for a $13 million club option for 2018. Smith, who is in the final year of a three-year, $19.75 million deal, will make $7 million this upcoming season before becoming a free agent.
Gallardo came to the Orioles with a resume of durability _ he averaged 32 starts and 191 innings over the previous six seasons _ but his one year in Baltimore was a disappointment. His diminished velocity was a storyline during spring training and he landed on the disabled list with a shoulder injury just four starts into the regular season. He remained on the DL for nearly two months, and posted a 5.13 ERA in 19 starts upon his return.
This offseason, the Orioles seemed primed to unload one of their veteran starters. Besides Gallardo, the Orioles owe right-hander Ubaldo Jimenez $13.5 million this upcoming season and are slated to pay left-hander Wade Miley $8.75 million for 2017, so unloading one of the three would have freed up valuable payroll money.
Gallardo seemed to be the most difficult of the three to move, but the Orioles found a familiar trade partner in the Mariners.
"Gallardo gives us the veteran presence that we have been searching for," Mariners general manager Jerry Dipoto said. "He has a track record of durability and success as a starting pitcher. After examining the free agent and trade market, Yovani is the best fit for our club as we move forward this offseason."
Last offseason, the Orioles acquired Trumbo in a trade with the Mariners in exchange for backup catcher Steve Clevenger, a move that ended up being lopsided when Trumbo led the majors with 47 homers. One of the club's best trades in franchise history also came at the expense of the Mariners, when the Orioles acquired cornerstones Adam Jones and Chris Tillman in a deal for left-hander Erik Bedard before the 2008 season.
The downside of losing Gallardo is that barring an acquisition, the Orioles' starting pitching depth will be stretched going into next season, with the continued development of young arms like Tyler Wilson and Mike Wright becoming more important. Both Wilson and Wright made the Orioles' Opening Day lineup and showed flashes of being capable starters, but also struggled in 2016 and found themselves on the shuttle between the majors and Triple-A Norfolk.
