According to Joel Sherman of the New York Post, the Yankees current budget has room only for Eric Chavez or a left-handed designated hitter, but not both.

This conflicts with a CBSSports.com report that the Yankees would finalize contracts with Chavez and Raul Ibanez once A.J. Burnett is officially traded to the Pirates. Sherman notes that the Yankees' front office plans to reconvene to discuss if room can be made for both areas, and that New York still favors Ibanez over Johnny Damon, but that Damon is ''still not off the board.''

According to Andrew Marchand of ESPNNewYork.com, the addition of Bill Hall will not have an impact on the Yankees' pursuit of Eric Chavez.

Maybe not, but it's hard to believe the Yankees would give Chavez anything more than a minor league deal given his lengthy injury history. The 34-year-old was limited to just 58 games with New York last season due to a fractured foot, batting .263/.320/.356 across 175 plate appearances. The Yankees are also reportedly pursuing Raul Ibanez, Hideki Matsui and Johnny Damon.

Andrew Marchand of ESPNNewYork.com reports that the Yankees are still interested in re-signing Eric Chavez.

The Yankees are also reportedly talking to Bill Hall, but it's not expected to have much of an impact on Chavez. According to Marchand, Hall would receive a minor-league deal while Chavez would get a big-league contract. The 34-year-old was limited to just 58 games last season due to a fractured foot, batting .263/.320/.356 across 175 plate appearances.

Jon Heyman of CBSSports.com reports that the Yankees would like to re-sign Eric Chavez.

The Yankees are expected to re-open talks after failing to reach a deal with Japanese infielder Hiroyuki Nakajima. The 34-year-old Chavez was limited to just 58 games last season due to a fractured foot, batting .263/.320/.356 across 175 plate appearances. Heyman reports that the Nationals, Rays and Padres have also expressed interest.

Jon Heyman of SI.com reports that the Yankees are interesting in re-signing Eric Chavez.

Chavez missed nearly three months of action this season after fracturing his foot and wasn't terribly productive when healthy, batting just .263/.320/.356 across 175 plate appearances. But, he's decided to continue playing in 2012 and evidently the Yanks aren't ruling out a reunion.

Eric Chavez wants to play in 2012.

The 33-year-old continued to battle injuries this season while posting an underwhelming .263/.320/.356 slash line across 175 plate appearances, but major league teams might see him as a high-upside backup capable of providing a veteran clubhouse presence. Look for Chavez to land an incentives-driven one-year contract.

Eric Chavez's agent Scott Leventhal said his client will make a decision regarding retirement "at some point" this winter.

Chavez, an impending free agent, is still mulling over whether to return in 2012. The 33-year-old missed nearly three months after fracturing his foot in early-May, but was useful in a part-time role with the Yankees, batting .263/.320/.356 with two homers, 26 RBI and a .676 OPS over 175 plate appearances. If he opts to play again, Leventhal said his client would be interested in returning to the Bombers in 2012.

According to Joel Sherman of the New York Post, Eric Chavez is "leaning heavily" toward retirement.

The 33-year-old Chavez missed nearly three months after fracturing his foot in early-May, but was useful in a part-time role with the Yankees this season, batting .263/.320/.356 with two homers, 26 RBI and a .676 OPS over 175 plate appearances. The six-time Gold Glove Award winner has a .267 batting average, 1,318 hits and 232 homers over parts of 14 seasons in the big leagues.

Eric Chavez belted a two-run homer in Friday's loss to the Blue Jays.

Chavez got one more start at third base while the Yankees gave Alex Rodriguez (thumb) more down time. The veteran infielder has predictably been injury-prone this season, sporting a .273/.329/.381 batting line over 139 at-bats.

Eric Chavez went 3-for-6 with a home run and four RBI in New York's 18-7 win in Chicago on Wednesday.

Chavez was one of four Yankees with at least three RBI tonight, while the home run was his first in pinstripes. Since coming off the disabled list on July 26, he's gone 7-for-24 (.292) with six RBI. There are worse AL-only league fliers to take while Alex Rodriguez is on the disabled list.

Yankees activated INF Eric Chavez from the 60-day disabled list.

As expected. Chavez will start at third base Tuesday and bat eighth against Mariners' right-hander Doug Fister. The oft-injured infielder was batting .303/.410/.424 with two doubles, a triple and six RBI over his first 39 plate appearances before fracturing his left foot in early May.

Eric Chavez (foot, back, abdomen) is expected to return from the disabled list Tuesday.

Chavez went 0-for-4 with four groundouts Monday with High-A Tampa and went 7-for-21 (.333) with one home run and three RBI during his rehab assignment. The veteran infielder originally went on the disabled list in early May with a fractured left foot, but has since dealt with back and abdomen injuries. He will likely function as a backup at the hot corner and first base upon his return.

Eric Chavez (foot, back, abdomen) will need to appear in back-to-back nine-inning games with High-A Tampa before being activated from the disabled list.

He could be ready to do so soon, as he played his fourth game Friday without any issues. Yankees manager Joe Girardi said that Chavez, who's been out since early May with a variety of ailments, could rejoin the team during the home stand that ends on July 31.

Eric Chavez went 1-for-3 with a double and a walk Thursday in a rehab game with High-A Tampa.

Chavez played six innings at third base and reported no physical issues. The veteran corner infielder is aiming to return to the major leagues within a few days and could see playing time at the hot corner while Alex Rodriguez recovers from knee surgery.

Eric Chavez (foot, back, abdomen) went 4-for-5 with four singles and two runs scored Wednesday in his second minor league rehab game with High-A Tampa.

Chavez served as the designated hitter for the second straight day. He is now 4-for-8 with a walk over his first two rehab games. The plan is for him to play third base on Thursday and Friday. The oft-injured Chavez is no sure thing, but he could rejoin the Yanks rather quickly if he can make it through back-to-back games with no issues.

Eric Chavez (foot, back, abdomen) will begin a minor league rehab assignment Tuesday with High-A Tampa.

Chavez went on the disabled list in early May with a fractured left foot, but has since dealt with back and abdomen injuries. The Yankees could use some help at third base, though there's no timetable for his return right now.

Eric Chavez (foot, back, abdomen) could begin a rehab assignment as early as Tuesday.

Chavez is finally making some progress with his variety of ailments after a series of setbacks. His rehab assignment will probably be fairly lengthy given that he's been out since early May.

Yankees manager Joe Girardi said Eric Chavez (foot, back, abdomen) has been taking ground balls, as well as batting practice.

"He's taking ground balls, and he's taking BP, so he's done okay," Girardi said. "Hopefully we can get him in a game pretty soon too. I can't tell you when, but it would be nice to get him in a game soon." It's encouraging, but we've learned many times over never to get too worked up over status updates on Chavez, as a setback is usually on the horizon.

Eric Chavez is flying back to New York to undergo testing for an abdominal injury.

Sadly, we're not surprised. Chavez has been out since early May with a fractured left foot and suffered a setback last week due to a back strain. We're not holding our breath for his return to the Bombers.

Yankees general manager Brian Cashman said Friday that Eric Chavez is currently sidelined with a back strain.

Oh, here we go. Chavez was just starting to make progress in his rehab from a fractured left foot, but we wouldn't count on seeing him back with the Yankees in the next couple of weeks.