Wang loses to Yankees

Chien-Ming Wang lost his salary arbitration case against the New York Yankees on Friday and will earn $4 million instead of his request for $4.6 million.

The hearing was the first for the Yankees since Mariano Rivera lost in 2000. The decision left the Yankees’ payroll at a major league-high $206.4 million for 22 signed players.

“He’s a special talent. It’s just, really, about where he slots in a market of special players as a first-time eligible,” Yankees General Manager Brian Cashman said. “Based on where the market is . . . there was really no room to go any higher than 4. It would have been out-of-market.”

Wang went 19-7 with a 3.70 earned-run average last year, his second consecutive season with 19 wins, but he lost twice as the Cleveland Indians eliminated the Yankees in the first round of the playoffs. He made $489,500.

Second baseman Brandon Phillips agreed to terms on a $27 million, four-year deal, settling the Cincinnati Reds’ final arbitration case and satisfying a player who doesn’t want to leave.

The 26-year-old infielder had a breakout season last year, when he joined Alfonso Soriano as the only second basemen in major league history to hit 30 homers and steal 30 bases.

Phillips had asked for $4.2 million in arbitration, and the Reds had offered $2.7 million.

The total value of the contract, including incentives for awards such as finishing in the top five of MVP voting or winning Gold Glove and Silver Slugger awards, could increase to $43.25 million.

The Houston Astros won their arbitration case with closer Jose Valverde.

Valverde was asking for $6.2 million and the Astros were offering $4.7 million.

Houston acquired Valverde from Arizona in mid-December. The 28-year-old right-hander was expected to arrive at spring training today, according to Manager Cecil Cooper.

Valverde made $2 million last season, when he led the major leagues with 47 saves with the Diamondbacks.

All-Star shortstop J.J. Hardy and the Milwaukee Brewers agreed to terms on a $2.65 million, one-year contract that avoided arbitration.

Hardy had asked for $3.05 million, while the Brewers had offered $2.4 million. He batted .277 with 26 homers and 80 RBIs last season.

Erik Bedard has agreed to terms on a $7 million, one-year contract with the Seattle Mariners, avoiding arbitration with the team that acquired him last week.