According to Adrian Wojnarowski of Yahoo! Sports (and apparently confirmed by Randolph's agent Raymond Brothers), the Grizzlies and Randolph agreed to terms this morning:
After exercising his $16.5M player option for 2014-'15, Zach Randolph has agreed to 2-year, $20M extension with Memphis, sources tell Yahoo.— Adrian Wojnarowski (@WojYahooNBA) June 27, 2014
Randolph's agent, Raymond Brothers, has confirmed the extension deal to Yahoo Sports.— Adrian Wojnarowski (@WojYahooNBA) June 27, 2014
This deal is probably the best the Grizzlies could do and still keep Randolph. The $16.5 million for next year is a lot of money, but the $20 million / 2 year extension after that is exactly the number I thought they should offer him.
Hard to argue with that deal. Next year, it makes getting rid of Tayshaun Prince a little bit more important but harder to actually do, but beyond 2014-15, the Randolph contract is at a price point that allows the Griz to re-sign Marc Gasol next summer (and let's not forget Mike Conley at some point).
Now let's hope they call Marc Gasol this afternoon and start talking about making that happen.