The Giants continue to dole out the money, locking up Madison Bumgarner through his first year of free agency:

The Giants and left-hander Madison Bumgarner have agreed to a five-year extension through 2017, with options covering the 2018 and 2019 seasons. The agreement covers all of Bumgarner’s arbitration years and his first year of free agency (2017). According to Bumgarner’s agents at SFX Baseball, the deal guarantees Bumgarner $35 million through the first five years. If he qualifies for Super 2 status (unlikely) he will get $40 million.

The deal is the largest ever for a pitcher with one-plus year of service time.

I continue to love these deals. If he’s half as good in each of next five seasons as he was in 2011, the Giants still come out ahead on the contract. It seems to me owners expect high salary inflation in the next five years, so it’s worth it to lock up the good players now. We’re going back in time to the early 1990s.

It’s best to watch the video to the six minute mark.