There were plenty of acronyms flying around on Tuesday afternoon after the Seattle Sounders sent General Allocation Money to Toronto FC in exchange for Targeted Allocation Money and an international roster spot.
GAM, TAM ... what's it all mean? We're glad you asked.
First and foremost, the addition of an international roster spot means at least some roster flexibility for the Sounders they didn't have before the deal. Prior to the exchange, Seattle was maxed out for international players after signing forward Oalex Anderson last week. With a new spot available, the door is open for either a domestic or international player to join the club, which currently has one open roster space. The current transfer window closes in May.
Sports Illlustrated's Grant Wahl on Tuesday mentioned that the move may mean Seattle is angling for a Designated Player midfielder within the next few months. Seattle bolstered its roster in the later of two transfer windows last season, adding Erik Friberg and Andreas Ivanschitz to the midfield and bringing in defender Roman Torres and forward Nelson Valdez.
What's key in the exchange is noting how targeted allocation money can be used. TAM, which can only be utilized for players earning more than the maximum salary budget charge (in most cases, either to contribute towards a DP salary or buy down the contract of a DP-level player, something the club did with Osvaldo Alonso's contract to add Valdez as a DP last summer) would theoretically be applied towards the open Designated Player slot left behind by the departure of striker Obafemi Martins.
TAM was introduced to the league in July 2015 and ultimately allowed teams the flexibility to bring in new Designated Players while bringing the salary of an existing DP below the maximum salary budget charge.
“We’re going to take our time, and we’re going to replace Oba,” Sounders GM and President of Soccer Garth Lagerwey said last month. “Maybe not position for position, maybe not player for player. But I think some of the replacements will come from the group, in terms of how we collectively play. And I think we’re going to look to add some more talent. We have some roster and salary flexibility to go look at players.”
