Yovani Gallardo, Orioles agree to 3-year, $35M contract

— -- BALTIMORE -- Free-agent right-hander Yovani Gallardo and the Baltimore Orioles have reached agreement on a three-year, $35 million contract, according to ESPN and media reports.

Sources told ESPN that there's a fourth-year option for $13 million as part of the deal. 

Gallardo, who turns 30 later this month, is 102-75 with a 3.66 ERA in nine major league seasons, the first eight coming with the Milwaukee Brewers.

Last year, pitching for the Texas Rangers, he went 13-11 with a 3.42 ERA, but struggled in the second half, posting a 1.72 WHIP and lasting six innings just twice in 14 outings. On the year, he made 33 starts, the seventh season in a row that he's started at least 30 games and worked 180-plus innings.

As a result of signing Gallardo, who declined a qualifying offer from Texas, the Orioles must surrender the 14th overall pick in this June's amateur draft. Gallardo fills the void created by the departure of free agent Wei-Yin Chen, joining an all right-handed rotation that currently features Chris Tillman, Miguel Gonzalez, Ubaldo Jimenez and Kevin Gausman.

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The Orioles aren't expected to be done with their free-agency acquisitions. The team is expected to sign outfielder  Dexter Fowler, a move that would cost the team its second-round draft pick. 

Fowler had been discussing a multiyear deal with the team in the range of $12 million to $13 million annually, for either two or three years, sources told ESPN The Magazine's Buster Olney earlier this week.

Information from ESPN's Jerry Crasnick was used in this report.