Hawks trade John Collins to Jazz, create massive exception, sources reveal - significant financial flexibility for Atlanta.

                                                        (Photo by Kevin C. Cox/Getty Images)

The Atlanta Hawks have reportedly reached a deal to trade forward John Collins to the Utah Jazz, opening up significant financial flexibility for the franchise. Sources familiar with the matter have disclosed that the Hawks will be acquiring forward Rudy Gay and a future second-round draft pick in exchange for Collins, who still has $78 million remaining on his contract for the next three seasons. This trade will create a massive trade exception worth $25.3 million for the Hawks, which happens to be the largest in the entire NBA. The team will have a year to potentially utilize this exception to take on another player's contract.

Although the trade cannot be finalized until July 6, the acquisition of Collins is expected to greatly benefit the Jazz. The 25-year-old forward brings versatility to Utah's front line, alongside All-Star Lauri Markkanen and promising rookie center Walker Kessler. The Jazz recently used the ninth pick in the NBA draft to select power forward Taylor Hendricks from Central Florida, further bolstering their roster. With Collins on board, the Jazz aim to make a strong push for the Western Conference playoffs in the upcoming season, building upon their impressive offensive performance under first-year coach Will Hardy.

The Hawks and Jazz have been engaged in discussions about this trade for over a year, but the complexities arising from the changes in the NBA's new collective bargaining agreement made it challenging to find a suitable return for Collins, considering the remaining balance on his contract. Nevertheless, the acquisition of Rudy Gay will allow the Hawks to significantly decrease their payroll, dropping below the second apron ($182.5 million) and the luxury tax threshold ($165 million) for the 2023-24 season. Sources suggest that the Hawks are still actively pursuing additional deals this offseason and are even willing to exceed the luxury tax threshold if necessary to enhance their roster.

Collins' departure provides the Hawks with an opportunity to explore contract extensions for their young core players, namely Dejounte Murray, Onyeka Okongwu, and Saddiq Bey. Additionally, this trade opens up a more prominent role for forward Jalen Johnson in his third season. By positioning themselves below the NBA's new second-apron tax level ahead of 2024, the Hawks ensure that they avoid potential restrictions on team building that could have hindered their roster flexibility.

John Collins has been a success story for the Hawks since being drafted as the 19th overall pick in 2017. Over his six seasons with Atlanta, he has established himself as one of the Eastern Conference's top forwards, averaging 15.8 points and 8.0 rebounds per game. In the 2022-23 season, Collins contributed 13.1 points and 6.5 rebounds per game. According to data from ESPN Stats & Information, he is one of only five players to maintain an average of 15 points on 55%-plus shooting over the past six seasons, placing him in the company of elite players such as Nikola Jokic, Giannis Antetokounmpo, Jonas Valanciunas, and Domantas Sabonis.

Overall, this trade between the Hawks and the Jazz represents a strategic move by the Hawks to attain greater financial flexibility, while the Jazz aim to strengthen their roster and make a playoff push with the addition of John Collins.