The Kansas City Royals and veteran right-handed starting pitcher Seth Lugo have agreed to a two-year contract extension with a vesting option, the team announced Monday. The deal is expected to pay about $46 million total for 2026 and 2027,

The Royals reached a multi-year contract extension with Lugo on Sunday night, according to ESPN's Jeff Passan. Further specifics on his new deal are not yet known. Though Lugo was widely considered one of the top trade candidates ahead of the deadline this summer, he'll now be in Kansas City for years to come.

Seth Lugo signed on for two more seasons, with the contract holding a vesting option for a third year. The pact guarantees the 35-year-old right-handed pitcher at least $46 million. For whatever you think of the deal — too rich, rather cheap or just right — we should back up to acknowledge a bigger picture: