I thought what I read was that Ramirez is a free agent, but the Cubs have an $16 million option for Ramirez next year. If I understand correctly, the Cubs get nothing for Ramirez if they let him walk. I don't believe he's part of the Epstein deal - he's just a free agent.. From what I'm hearing, the Red Sox' compensation for Epstein will likely just involve prospects. No cash or big league players.
I believe the way Ramirez sets up is that if the Cubs let Ramirez walk "straight-up" they get nothing; however, Ramirez has a double option. If the Cubs claim him and he chooses to walk, they get compensation, but if they claim him, they run the risk of having him pick up the option as well and getting saddled with him for one more year.
I might be misunderstanding the way it works, but I think that's right.
Edit: Here is the Cot's Contracts (
Chicago Cubs Contracts) explanation of Ramirez's deal:
5 years/$75M (2007-11), plus 2012 club option
-re-signed by Cubs as a free agent 11/06
-$5M signing bonus
-07:$8M, 08:$14M, 09:$15.65M, 10:$15.75M, 11:$14.6M player option, 12:$16M club option ($2M buyout)
-full no-trade clause 2007-10, $1M assignment bonus if traded
-Ramirez has right to void contract after 2010 & become a free agent if club exercises 2012 option, Ramirez may void and forfeit option
-award bonuses: $75,000 each for Gold Glove or All Star selection, $0.25M for LCS MVP, $0.3M for MVP,$0.35M for WS MVP
-2012 option becomes guaranteed if Ramirez: wins one MVP in 2007-11, or places 2nd or 3rd in MVP vote twice in 2007-11, or wins LCS MVP once in 2007-11, or is an All Star 3 times in 2007-11, or is traded at any time & Ramirez exercises 2011 option
-Ramirez exercised 2011 player option 11/10