Carlos Lee is a free agent after this season. I seriously doubt that the Rangers have already negotiated an extension with him, and I doubt they are going to talk contract extension with him before the season is over.
He's asking 5 years, $65 million, and at that price, I think the Rangers let him walk (and should let him walk), and look at Nelson Cruz and Brad Wilkerson in the outfield corners for 2007, or maybe a lesser-light free agent like Craig Wilson.
Here's the thing, though...with Lee, Rod Barajas, GMJ, and Vicente Padilla, the Rangers have four pending free agents who are looking like Type A or Type B free agents this offseason.
Barajas is probably gone, Padilla has said he'll go to the highest bidder, Lee may or may not be back...
There's a pretty decent possibility that the Rangers could have something like 7-9 picks in the first 2 rounds of the 2007 draft.
And that provides a very nice opportunity to re-stock the farm system.