The Yankees sign Rays’ free-agent Rafael Soriano to a $35 million, three-year deal. The All-Star right-handed reliever, who led the AL in saves last year with 45, will be used by New York as a set-up man to the team’s iconic closer, 41 year-old Mariano Rivera.

Royals’ starter Gil Meche, who signed a controversial five-year, $55 million free-agent contract prior to the 2007 season, announces his retirement from baseball due to ongoing troubles caused by a shoulder injury. With this decision, the 32 year-old right-hander forfeits the remaining $12 million on his contract, but he believes Kansas City has been fair to him and does not want to take the club’s money when he is unable to pitch effectively.

With the deadline for settling cases headed for salary arbitration looming, teams strike deals with most of their unsigned players. Most notable among these is the Brewers signing 1B Prince Fielder to a one-year, $15.5 million contract, the highest single-season contract ever for an arbitration-eligible player. Josh Hamilton and Jose Bautista are the two biggest names who remain unsigned.

P Gil Meche of the Royals, whose career has been derailed by numerous injuries and who is facing another shoulder surgery, announces his retirement in spite of having one season left on his contract at a salary of $12 million. The Royals had been trying to trade him for prospects earlier this off-season.

OF Milton Bradley is in trouble with the law once again. He is arrested this morning in Los Angeles, CA on unspecified charges and released late in the day, with a court appearance set for February 8th. The Mariners state that they are treating the situation “very seriously”.