Penguins Re-Sign Kris Letang to 4-Year/$14 Million Dollar Contract Extension

In a move that was somewhat surprising in terms of timing, but not necessarily in terms of news, the Pittsburgh Penguins re-signed defenseman Kris Letang to a new 4-year/$14 million dollar contract extension today.

Letang's cap hit will be $3.5 million dollars per season, and the Penguins now have just under $45 million dollars committed to 14 players for next season.

#58 is, by most accounts, having somewhat of a subpar season for Pittsburgh this year and, because of that, this contract has to be considered a good deal for Letang's camp, but the fact of the matter is that Letang remains only 22 years old and still has the potential to be a two-way force on the Pens' blueline. While he has 3 goals and 24 assists this year -- average production, and production not unlike what the Pens' have surprisingly gotten from Letang's defense partner, Brooks Orpik -- everyone knows that Letang is capable of so much more.

The Penguins are clearly investing in the future in this deal.

The biggest and most interesting question that Letang's signing raises is whether his contract will pave the way for Sergei Gonchar to leave town at or before this coming July 1 when he becomes an unrestricted free agent.

Odds are that the answer to that question is yes.

Pittsburgh engaged in some detailed contract discussions with Gonchar before the Olympics but those discussions didn't get very far as Sarge was seeking a 3 year deal without any reduction in his current salary, which is $5 million per season.

Paying Gonchar that much going forward for 3 years, at his age, was probably going to be an issue for Pittsburgh, and signing Letang, while not completely dispositive of what the Penguins may do with Sarge, probably tips their hand.

Time will tell, and it will be interesting to see if the Penguins still try to keep him, let him walk or even deal his rights at the NHL entry draft in June.

More later.