Jan. 17 -- HAMELS TO SIGN 3-YEAR, $20.5 MILLION DEAL

BY SCOTT LAUBER

Woke up this morning and took a drive down to the Wilmington train station to see Barack Obama, and upon my return, I saw this report from the New York Post: Cole Hamels is on the verge of signing a three-year, $20.5 million contract with the Phillies that would buy away three of his arbitration years.

So, naturally, I phoned Ruben Amaro Jr., who said he can "neither confirm nor deny" the report. But we've talked to one baseball source, who desired anonymity because the deal isn't signed, who said that a contract is imminent and could be announced before the end of the weekend.

What does this mean?

Well, mostly, it's about cost control for the Phillies. Hamels can't become a free agent until the 2012 season anyway, but by avoiding the arbitration process with him for three seasons, the Phillies lock him up at a fairly reasonable rate and prevent his salary from escalating too severely while they struggle to figure out how the heck they're going to sign Ryan Howard. According to the report, Hamels will make $4.35 million in 2009, $6.65 million in 2010 and $9.5 million in 2011. For the past few weeks, we had heard rumors that Hamels would ask for at least $5 million in arbitration this year. So, clearly, Hamels will still be relatively inexpensive for the next three years.

More as we get it.

(Updated, 2:30 p.m.): Just spoke with another source. Hamels will take a physical today, and a press conference likely will be held tomorrow, presumably before the Eagles game. If you're counting, that leaves six more arbitration-eligible players (Ryan Howard, Ryan Madson, Jayson Werth, Shane Victorino, Joe Blanton, Chad Durbin).

(Updated, 5 p.m.): Hamels' agent, John Boggs, hasn't returned my call yet. But he told ESPN.com, "We're very pleased with the fact that Cole has had an opportunity to be rewarded for his accomplishments in the past. The contract gives Cole a degree of financial security, and it didn't compromise his last year of arbitration or touch any free agent years, which was our goal."

Keep it here for more updates throughout the day.