Do you want Kawhi?

[Chaplin]

Just got an alert that Kawhi is "warming" to the idea of playing for the Raptors.

 

[Mainstreet]

Just got an alert that Kawhi is "warming" to the idea of playing for the Raptors.

And he should. The Raptors saved him from an uncomfortable situation with the Spurs.

 

[SirStefan32]

Leonard is looking like a rich man's Larry Sanders. Or Andrew Bynum, even.

Hey, he has to feed his family, man!

 

[AzStevenCal]

Hey, he has to feed his family, man!

I don't think he's quite Latrell level crazy.

 

[Ouchie-Z-Clown]

I don't think he's quite Latrell level crazy.

Could be. We never hear anything from him. Might be crazier!

 

[Yuma]

I can see the logic of taking a chance that this guy may stick around for a max deal. However, it's pretty much win it all this season or else!

 

[AzStevenCal]

I can see the logic of taking a chance that this guy may stick around for a max deal. However, it's pretty much win it all this season or else!

Maybe I'm wrong but I think we're underrating Toronto's desire to part ways with Derozan. 28 million a year isn't a lot for a star today but a star that always disappoints in the playoffs and has a problem with depression?

 

[Yuma]

Maybe I'm wrong but I think we're underrating Toronto's desire to part ways with Derozan. 28 million a year isn't a lot for a star today but a star that always disappoints in the playoffs and has a problem with depression?

Maybe you are onto something there. Maybe its not so much addition as subtraction. However, although Derozen hates the trade, I could see him really doing well in Pop's system.

 

[Superbone]

If Kawhi actually plays for the Raptors and they get to the NBA Finals, then the trade was a success for them even if he walks after the season.

 

[Phrazbit]

Seeing as the Raptors gave up very little in draft equity, I think the reward dramatically outweighs the risk.

The idea that if he leaves they're going to be stuck in mediocrity... isn't that what they were looking at anyway? They're good, not great and obviously about to be overtaken by the Sixers and Celtics. If Kawhi plays and plays hard now they've got arguably the best player in the conference, a real chance at making the finals AND they've got the guy who gives guys like Durant and Harden fits.

 

[Chaplin]

Good thing they didn’t have a 2021 Miami Heat pick to give away.

 

[Raze]

Seeing as the Raptors gave up very little in draft equity, I think the reward dramatically outweighs the risk.

The idea that if he leaves they're going to be stuck in mediocrity... isn't that what they were looking at anyway? They're good, not great and obviously about to be overtaken by the Sixers and Celtics. If Kawhi plays and plays hard now they've got arguably the best player in the conference, a real chance at making the finals AND they've got the guy who gives guys like Durant and Harden fits.

True, the Raptors didn't give up much. But who says they wouldn't make the Finals this year with DeRozan? The only thing that stood in their way last year was Lebron, who's gone. True, Boston is formidable, but certainly beatable. Plus, who knows what the chemistry is going to be like with Kyrie back. Ben Simmons still can't shoot and Embid still has to stay healthy so Philly is always a question mark. After that there is NO ONE else in the East. No, they wouldn't have won the Championship. But no one besides GS was anyway.

I don't hate the trade for Toronto. It's just a question of whether he stays or not. Next year he could walk away from Toronto and lose $50M signing anywhere else. ($190M to $140M) That would seem foolish. If he stays it's a remarkable steal. If he goes, they gave up $28M baggage to take a shot. Either way, it looks like Toronto comes out on top.

In the end, the Spurs suck. They blew it big time, and got next to nothing for this. The good news is that they may not make the playoffs so no one will get to watch DeMar fold again. He'll post nice numbers on a losing team. My bet, Pop retires after this. Why in the world would he want to coach that team now?

This might even open up the window a bit wider for the Suns to squeeze into the 8th spot. Probably not, but it'll be exciting to find out.

 

[Hoop Head]

I'm kind of glad the "Kawhi Era" is over for the Spurs now. They lost Tony Parker this offseason also. Has there been word of whether Manu is returning? It really could be the end of their title teams entirely. I know Pop is too good of a coach for them to miss the playoffs more than once but perhaps he calls it a career? He's much older now and he recently lost his wife. Perhaps he's not as interested as before after dealing with so much within the last year. I like Pop as a competitor and respect him as a coach but I wouldn't mind seeing the Spurs struggle for a while. If he's not there for it that's all the better.

 

[Western Font]

Maybe I'm wrong but I think we're underrating Toronto's desire to part ways with Derozan. 28 million a year isn't a lot for a star today but a star that always disappoints in the playoffs and has a problem with depression?

DeRozan is beloved in Toronto but they weren’t going to re-sign him. Someone on Toronto sports radio last night was making the point that even if Leonard leaves, they were likely going to end up at the same point because they’d be trying to get DeRozan off the books anyway. (And there won’t be a Leonard to come back in a trade for him).

Another local thing is that the Leafs are contenders and just signed the top free agent in the NHL. The Raptors compete with them for eyeballs, and this certainly makes things more interesting in the meantime.

 

[Western Font]

Players in Canada, whether Basketball, Baseball or Hockey, are paid in American dollars.

That's a 24% boost on their personal local spending, as of today.

Personal taxes are paid based on where you work. Half in Toronto, Ontario, Canada, in this case, and then wherever the team plays on the road. A tax treaty between Canada and the US covers what is actually paid. In the end, a player in Canada is taxed at the same rate as someone playing in New York State or California.

So, with the exception of states with no State income tax, Toronto is as good, arguably better, in terms of actual disposable income.

Plus you don’t make or lose money on the exchange rate itself, but on changes to the rate. Leonard would only lose on the money he converts to CAD over time if the CAD improves against the USD. And if the CAD weakens, he might gain. But the bulk of his income will be made and invested in USD.

 

[Yuma]

Plus you don’t make or lose money on the exchange rate itself, but on changes to the rate. Leonard would only lose on the money he converts to CAD over time if the CAD improves against the USD. And if the CAD weakens, he might gain. But the bulk of his income will be made and invested in USD.

The dollar has been weakening against world currencies lately. Might be good timing for Derozen!

 

[GuernseyCard]

The dollar has been weakening against world currencies lately. Might be good timing for Derozen!

US dollar may be weakening a bit against other currencies, but DeRozen is leaving a 25% advantage in terms of his personal expenditures while in Canada.

 

[GuernseyCard]

Plus you don’t make or lose money on the exchange rate itself, but on changes to the rate. Leonard would only lose on the money he converts to CAD over time if the CAD improves against the USD. And if the CAD weakens, he might gain. But the bulk of his income will be made and invested in USD.

He has a 25% advantage as it stands. It's been some years since the CDN dollar has been at par with the US greenback.

 

[GuernseyCard]

DeRozan is beloved in Toronto but they weren’t going to re-sign him. Someone on Toronto sports radio last night was making the point that even if Leonard leaves, they were likely going to end up at the same point because they’d be trying to get DeRozan off the books anyway. (And there won’t be a Leonard to come back in a trade for him).

Another local thing is that the Leafs are contenders and just signed the top free agent in the NHL. The Raptors compete with them for eyeballs, and this certainly makes things more interesting in the meantime.

They had DeRozen under control for 3 seasons. Now they have to convince Leonard to sign following this season. They can offer a max 5-year deal; other teams can only offer four.

 

[Western Font]

He has a 25% advantage as it stands. It's been some years since the CDN dollar has been at par with the US greenback.

Well, a 25% advantage minus any relevant price differences. Dan H mentioned books earlier: if Kawhi wants to buy the current #1 NYT bestseller for his flight to Toronto, he's going to have to pay USD$30 in San Antonio, but if he wants it when he lands he'll pay CAD$39 (which is just below today's exchange rate). Obviously cost of living varies widely market to market, though, and not just between nations.

 

[elindholm]

Well, a 25% advantage minus any relevant price differences. Dan H mentioned books earlier: if Kawhi wants to buy the current #1 NYT bestseller for his flight to Toronto, he's going to have to pay USD$30 in San Antonio, but if he wants it when he lands he'll pay CAD$39 (which is just below today's exchange rate). Obviously cost of living varies widely market to market, though, and not just between nations.

Is all of this confusion just because the Canadian currency is also called the "dollar"? I really get the sense that some people in this discussion have never dealt with an exchange rate.

 

[GuernseyCard]

Well, a 25% advantage minus any relevant price differences. Dan H mentioned books earlier: if Kawhi wants to buy the current #1 NYT bestseller for his flight to Toronto, he's going to have to pay USD$30 in San Antonio, but if he wants it when he lands he'll pay CAD$39 (which is just below today's exchange rate). Obviously cost of living varies widely market to market, though, and not just between nations.

True.

CAD $39.00 = 29.39 USD - today.

And no doubt Toronto's downtown cost of living is higher than San Antonio. But, that said, I'd argue he'd do quite well on a major purchase; condo - for example.

 

[JCSunsfan]

He has a 25% advantage as it stands. It's been some years since the CDN dollar has been at par with the US greenback.

It doesn’t work exactly like that. Prices of goods reflect the difference in money value. When monetary valuation fluctuates, you can take advantage some because the prices of goods and services tend to lag.

The real issue in Canada is taxes.

 

[GuernseyCard]

It doesn’t work exactly like that. Prices of goods reflect the difference in money value. When monetary valuation fluctuates, you can take advantage some because the prices of goods and services tend to lag.

The real issue in Canada is taxes.

Taxes in Canada are in the same range as NY and California.

 

[Phrazbit]

The dollar goes significantly farther in Canada (but less so in a metropolis like Toronto, which I'm sure has a higher cost of living than San Antonio) and the taxes for a millionaire are, I think, only a few percent points higher.

But you only get that purchasing power savings if you use all that money there... which he probably shouldn't.

Either way, taxes and cost of living in LA will be as bad as Canada.

And honestly, I think the tax stuff and cost of living stuff is something we think about and these young millionaires don't give a squirt for. They're fine either way, they'll follow other factors.