Franchising a player

[gk]

Quick question, let me know if I'm wrong.

If a player is franchised, that means he earns the average of the top 5 players at his position. I think that's correct. Remind me if this is correct too:

Another team may sign a franchised player, but must forfeit TWO first round picks. Is that right? Or am I mixing it up with Restricted Free Agent?

The reason I bring this up is: Peyton Manning. Could a team go totally balls-to-the-wall and sign him for 99% of their cap (assuming there is one) even if Manning is franchised by the Colts?

[fatmenace]

Two first round picks is correct. If he's exclusive, no other team can negotiate, per wiki.

There are two types of franchise tag designations: the exclusive rights franchise tag, and non-exclusive rights franchise tag:

* An "exclusive" franchise player must be offered a one-year contract for an amount no less than the average of the top five salaries at the player's position as of a date in April of the current year in which the tag will apply, or 120 percent of the player's previous year's salary, whichever is greater. Exclusive franchise players cannot negotiate with other teams.
* A "non-exclusive" franchise player must be offered a one-year contract for an amount no less than the average of the top five salaries at the player's position in the previous year, or 120 percent of the player's previous year's salary, whichever is greater. A non-exclusive franchise player may negotiate with other NFL teams, but if he signs an offer sheet from another team, the original team has a right to match the terms of that offer, or if it does not match the offer and thus loses the player, is entitled to receive two first-round draft picks as compensation.