DODGERS UPDATE: DODGERS MULL SIGNING FLOYD.

Byline: Brian Dohn Staff Writer

The Dodgers are mulling over whether to offer free agent Cliff Floyd a three-year contract that would pay between $5 million and $6 million annually before the slugging outfielder is forced to choose salary arbitration today from the Boston Red Sox, sources said Wednesday.

If signing Floyd doesn't work out, the Dodgers likely will move to free- agent first baseman Fred McGriff. Dodgers general manager Dan Evans spoke several times with McGriff's agent, Jim Krivacs, throughout the day but a contract offer was not made.

Evans also is entertaining several trade scenarios, he said, to bring an outfielder or first baseman to the Dodgers. If an outfielder is acquired, right fielder Shawn Green would move to first.

``I think everything is kind of in a holding pattern,'' Krivacs said.

Floyd turned down a three-year, $24 million deal from Boston earlier this offseason and would jump at the same deal from the Dodgers. He must decide by 9 p.m. whether to accept salary arbitration from the Red Sox. If he does, he could get a one-year deal worth as much as $9 million, but he also would be taken off the free-agent market and return to the Red Sox.

``A decision will be made late (tonight),'' Levinson said.

The Baltimore Orioles and New York Mets also are involved with Floyd, but the Dodgers showed the most interest. General manager Dan Evans met with Levinson several times at the winter meetings and the sides continue to speak. The organization is deciding whether to make an offer today, and one is possible but isn't considered imminent, sources said.

However, Evans hasn't been able to clear payroll to free up money to sign Floyd to a contract without going over the $117 million luxury tax line. He tried to trade free-agent right-hander Andy Ashby at the winter meetings, but Ashby's $8 million salary has proved too much so far. Evans has approximately $4.5 million to $5 million to sign Floyd and at least one another player.

The New York Yankees were involved shortly Wednesday, but sources said late at night that the Yankees dropped out when they agreed to a three-year contract worth approximately $21 million with Japanese free-agent outfielder Hideki Matsui.

Also, Evans spoke with the agents for infielder Rey Sanchez and left- handed pitcher Ron Villone about signing the free agents and an interest exists, sources said.

Sanchez, currently, is viewed as a backup to either shortstop Cesar Izturis or second baseman Joe Thurston. The Dodgers don't have a back-up middle infielder that hits from the right side, and Sanchez provides that.

Villone started the season opener for Pittsburgh last season, but the Dodgers' interest is in a reliever who could make a spot start, a la Omar Daal a year ago.