Colin Kaepernick trade parameters set, pending contract restructure

Adam Schefter of ESPN reports that the parameters for a Colin Kaepernick trade between the San Francisco 49ers and the Denver Broncos have been set. However, the quarterback and Denver still need to establish and agreement to restructure his contract, significantly reducing Kaepernick's base salary from the $11.9 million currently guaranteed.

"The compensation is expected to be some type of mid-round pick," reports Schefter.

That appears to be the only action item holding up a trade. Kaepernick and Denver general manager John Elway met on Thursday night at Elway's home in Colorado, per the San Francisco Chronicle.

The meeting is believed to be at least the second between the two and was likely arranged as a feeling-out process and to discuss contractual issues.

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The report is interesting because it had long been believed that the only item holding up a trade between the 49ers and Broncos was compensation, not salary. Salary was believed to be the item holding up a trade between the 49ers and Cleveland Browns, who eventfully declared that they were out of the Kaepernick sweepstakes.

Earlier this week, a report by Bleacher Report stated that Denver had asked Kaepernick to take a $7 million pay cut.

If the Broncos want Kaepernick, they would likely need to make some roster moves to acquire him as well as reduce his base salary. With just $1.62 million in available cap space according to the latest NFLPA report, Denver cannot currently absorb Kaepernick into their top 51 player salaries.

The 49ers will open up their offseason program on Monday, and a deal prior to that would make sense. However, if no deal is finalized, Kaepernick will be expected to report to the 49ers.

UPDATE:

The Sacramento Bee reports that a trade is not imminent and that salary and compensation still need to be worked out.