Matt Ryan Trade To Colts: Falcons Explain Financial Burden

After trading Matt Ryan to the Colts, the Atlanta Falcons are under a financial burden ahead of the 2022 season. But the Falcons are okay with their current situation.

The Atlanta Falcons already had a plan in place to trade former franchise quarterback Matt Ryan this offseason. On Monday afternoon, the plan went into action when Falcons traded Ryan to the Indianapolis Colts for a 2022 third-round pick. 

Matt Ryan

Chuck Cook-USA TODAY Sports

Matt Ryan

Kirby Lee-USA TODAY Sports

Matt Ryan

General manager Terry Fontenot said their decision to send Ryan to the Colts was to put the one-time league MVP winner in the best situation for him — not to capitalize on his trade value.

Moving on from Ryan's contract was the biggest benefit for the Falcons. But his departure left Atlanta in a deep financial hole for 2022.

"We're taking it on the chin this year but look at where we are next year — it's significant," Fontenot said. "It's our job to find value in free agency and draft well, even with that dead cap. It's an obstacle. But we look at it as an opportunity, and that's our job. We're not making excuses about it."

The Falcons are taking the largest cap hit in league history of $40.5 million after trading Ryan to Indianapolis. With Julio Jones still on the books, the Falcons will pay a dead cap hit of $62 million next season, per Spotrac.

"Not every team is in a market for a veteran quarterback,'' coach Arthur Smith said. "And understanding where Matt was with his contract ... For us, it was a win-win because it opens up a lot of space in 2023, so we do not have to keep playing this game of restructuring minimum deals. That's part of the compensation, as well, is what it opens up in the future for us."

Dale Zanine/USA Today Sports

Terry Fontenot

Jason Getz-USA TODAY Sports

Arthur Smith

Atlanta Falcons Communications

Arthur Smith

The Falcons drafted Ryan with the No. 3 overall selection of the 2008 NFL Draft. He became the greatest quarterback in franchise history. In 2016, Ryan became the first player in franchise history to receive MVP honors while leading the Falcons to an 11-5 record.

Ryan ends his career in Atlanta as the franchise leader for most passing yards (59,735) and touchdowns (367) while completing 65.5 percent of his pass attempts.