The Yankees liked Fuentes, but they were not willing to pay him closer money as a setup man and never made him an offer, a major-league source said.

O's get assist from MLB

Under terms of his settlement with the Orioles, right-hander Sidney Ponson will receive nearly all of the approximately $10 million he was owed after the team cut him for off-field transgressions in 2005, according to major-league sources.

The Orioles will pay the majority of that amount, sources say, and the rest will come from luxury-tax dollars collected by Major League Baseball.

How did the Orioles manage to escape paying the entire sum? Because MLB, upon reaching a new collective-bargaining agreement with the players' union in Oct. 2006, used luxury-tax proceeds to settle virtually all of its outstanding grievances.

The Ponson grievance was still pending at that time. The Orioles, as part of his settlement, simply asked MLB for the same benefit that was available to other clubs.

While it appears the Orioles got off somewhat easily, none of the clubs that had grievances pending in '06 paid a single dollar. All of the settlement money came from the central MLB source.

Around the horn

The Yankees still want to re-sign free-agent left-hander Andy Pettitte, with one source saying, "The door is not closed. When there's a will, there's a way." Pettitte, 36, has balked at the Yankees' one-year, $10 million offer, but the two sides could compromise by enabling Pettitte to approach his previous $16 million salary through reasonably attainable appearance-based incentives ...

Reds GM Walt Jocketty told MLB.com that free agent Pat Burrell got "half of what he was looking for" in his two-year, $16 million contract with the Rays. The Phillies floated a two-year, $21 million proposal to Burrell at mid-season. He was an MVP candidate at that time, and could not have anticipated the shift in the economy. The glut of defensively challenged free-agent hitters also did not help Burrell, who will be a free agent again at 34 ...

Even after signing Burrell, the Rays remain interested in adding free-agent outfielder Gabe Kapler, who could enter their right-field mixand also play center if B.J. Upton is not fully recovered fromshoulder surgery at the start of the season. The Burrell signing,however, stretched the Rays financially, and might restrict them frommaking further moves . . .

The Orioles have been the most forthright suitor for free-agentcatcher Gregg Zaun, but the Red Sox and A's are among the clubs alsointerested. Zaun could serve as a stopgap for the Orioles until topprospect Matt Wieters is ready, then serve as Wieters' backup. The RedSox could pursue Zaun more aggressively if they lose Jason Varitek andfail to trade for a catcher. Something to remember: Josh Bard's one-year, $1.7 million deal with the Sox is not guaranteed . . .

Free-agent shortstop Orlando Cabrera is willing to move to second base. Cabrera's agents floated the possibility of such a position change to the Yankees, but the Yankees responded that they are satisfied with Robinson Cano at second. The market for Cabrera appears decidedly cool ...

White Sox GM Ken Williams, quashing the possibility of an imminent trade for second baseman Brian Roberts, told writers in Chicago that he has not spoken with anyone from the Orioles since November. The Roberts-for-Gavin Floyd concept seemingly arose from internal discussions among Orioles officials. Roberts, 31, is a free agent after next season; the Orioles might already have waited too long to move him.

Baltimore Orioles News News » Manny in L.A. still makes sense
Manny in L.A. still makes sense
A recent conversation between Dodgers general manager Ned Colletti and agent Scott Boras produced no progress in the team's effort to retain Manny Ramirez, according to a source with knowledge of the discussions. Boras still is intent on landing Ramirez a deal of at least four years and $100 million, the source said. The Dodgers offered Ramirez a two-year, $45 million contract in November, then withdrew it two weeks later. As for the Giants, the other supposed suitor for Manny, rival executives are skeptical that they could pay Ramirez, Barry Zito and Aaron Rowand a combined $45 million to $50 million in a single season when the team's payroll never has exceeded $90 million. Ramirez also is cool to the idea of playing in San Francisco, according to one source. The cool weather in the city and pitcher-friendly qualities of AT&T Park is a turnoff to other free-agent hitters as well. The Dodgers, then, remain the most logical fit for Ramirez, especially now that the team has restructured outfielder Andruw Jones' contract, a move that will lead either to Jones' release or a trade. Yankees' Nady, Swisher in play Nick Swisher might not be a Yankee for long. The signing of free agent Mark Teixeira eliminated any chance of Swisher playing first base, and the team's outfield surplus almost certainly will lead to a trade. Both Swisher and Xavier Nady are drawing significant interest, according to major-league sources. The Yankees are not in a rush to trade either; their only desire is to make the best possible deal. The versatility of both players is appealing; Nady plays both outfield corners and first base, while Swisher plays all three outfield positions and first. Nady, 30, is a free agent after next season. Swisher, 28, is signed through 2011 with a club option for '12. Either would be more affordable to the Giants than Ramirez. Latest Lowe-down Free-agent right-hander Derek Lowe is not the Mets' unanimous No. 1 choice among the remaining free-agent starting pitchers. Oliver Perez, 27, is left-handed, eight years younger than Lowe and accustomed to pitching in New York. He also got married in mid-December, a sign of his growing maturity. The Braves also like Lowe, but have yet to speak with his agent, Scott Boras, and would be reluctant to go beyond the Mets' reported offer to Lowe — three years, $36 million. The Brewers, too, are interested in Lowe, but only at a modest price. The Phillies would love to sign Lowe, but cannot absorb his salary while bracing for pay increases to their eight remaining arbitration-eligible players, including first baseman Ryan Howard and left-hander Cole Hamels. Trevor time in Milwaukee?