Jul 2nd, 2009 | 10:45 pm |

Earlier Donnie Walsh indicated he wouldn’t make a big splash by signing a free agent to more than one year. Thursday in an e-mail to the Associated Press Donnie Walsh said:

“I have a little leeway which will leave me in good position for next year,”

“I know what it is but do not talk much about it.”

Donnie Walsh is reffering to his 2009 cap space.  It looks as now that Donnie Walsh would be willing to sign Kidd to a 3 year deal, and still be in a position to hire Lebron James in 2010.

The Knicks  may have been outpriced when the Mavericks offered the aging Kidd a three year deal.  The Knicks still have the Mid Level exception and are set to meet with veteran forward Grant Hill. Indications are if the Knicks can’t sign Kidd, they will offer Hill a contract.