Ray Allen re-signs with Sonics

Ray Allen has reportedly agreed to a new contract with the Seattle Sonics.

Several media sources are reporting that free agent All-Star guard Ray Allen has agreed to a five-year, $80 million contract to re-sign with the Seattle Sonics. Allen had been one of the most coveted free agents on the market and had been wooed by the Cleveland Cavaliers, Atlanta Hawks, L.A. Clippers, and, had they lost Michael Redd, the Milwaukee Bucks.

The Sonics had initially offered Allen a $75 million, five-year deal; the extra $5 million is reportedly in the form of incentives.

For the Sonics, this represents the first and most important piece of the free agent puzzle falling into place. Avoiding a sixth year for the 29-year-old Allen also allows the Sonics to avoid carrying an aging guard well past his prime with a compounding yearly salary.

Assuming that Allen receives the maximum 10-percent yearly raises available under the NBA's new Collective Bargaining Agreement:
Year 1: $12.3 million
Year 2: $13.5 million
Year 3: $14.9 million
Year 4: $16.4 million
Year 5: $18.0 million
Total: $75.1 million (all above figures rounded, so totals may not add up exactly)

Plus, $5 million worth of incentives.