"Negotiations have broken down," Chargers general manager A.J. Smith said. "Prior to the training camp report date, we made an effort to get Philip signed. Also, during the past week, we exchanged ideas and could not come to an agreement. On Friday, we offered a great deal to Philip. We also notified both Philip and his agent, Jimmy Sexton, that the offer will stand until 5 p.m. Sunday evening and if not accepted, the final offer will be pulled off the table."
According to sources, the Chargers' offer was six years -- worth slightly over $40.4 million -- although sources close to Rivers say the deal is worth around $39 million. Rivers was the fourth player selected in the NFL draft following a trade involving the Giants that enabled New York to get Eli Manning.
Both sides appeared to be close on the guaranteed portion of the contract. Until the last proposal, Rivers would receive $14 million in guarantees plus another $2 million in a hidden bonus that he should be able to trigger. There were disagreements on how $9 million more of incentives would be triggered.