The Yankees had a midnight Friday deadline to decide on whether to exercise the option.
If the Yankees had declined the option, they would have paid Abreu a $2 million buyout. Abreu made $15,600,000 last season.
The 33-year-old right fielder overcame a slow start to hit .283
with 16 homers and 101 RBIs this year, when he finished second in
the AL with 123 runs. He has reached 100 RBIs in five consecutive
"Bobby Abreu possesses a unique skill set and has proven to be
a durable and reliable asset to this club," general manager Brian
Cashman said. "Consistency has been a hallmark throughout his
New York acquired Abreu from Philadelphia in July 2006.
Information from ESPN The Magazine's Buster Olney and The Associated Press is included in this report