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Rockets’ Dorian Finney-Smith trade disaster comes with one saving grace

Houston created a $13.4 million trade exception with the Dorian Finney-Smith trade
Apr 9, 2025; Dallas, Texas, USA; Los Angeles Lakers forward Dorian Finney-Smith (17) in action during the game between the Dallas Mavericks and the Los Angeles Lakers at American Airlines Center. Mandatory Credit: Jerome Miron-Imagn Images
Apr 9, 2025; Dallas, Texas, USA; Los Angeles Lakers forward Dorian Finney-Smith (17) in action during the game between the Dallas Mavericks and the Los Angeles Lakers at American Airlines Center. Mandatory Credit: Jerome Miron-Imagn Images | IMAGN IMAGES via Reuters Connect

The Rockets’ “Dorian Finney-Smith era” has officially ended. After signing Finney-Smith to a four-year, $53 million contract last offseason, Houston used three second-round picks to convince Charlotte to take the remainder of his contract off its books, despite Finney-Smith only having one guaranteed year left on the deal.

In his only season in Houston, Finney-Smith played in just 37 games and averaged 3.3 points. Needless to say, it was a disappointing season for the 10-year veteran.

Many Rockets fans are frustrated because the team seemingly traded Finney-Smith and three second-round picks to Charlotte for nothing in return. That is not entirely true. Houston did create a roughly $13.4 million trade exception in the deal.

What is a trade exception?

When a team trades away more salary than it takes back, it can create a trade exception. That exception can then be used in a future trade to absorb salary without sending out another contract to make the money work.

In this case, Finney-Smith is set to make roughly $13.4 million next season. That means Houston can use this trade exception to acquire a player making up to that amount without having to attach another player’s contract to match salaries.

A $13.4 million trade exception is not going to bring a superstar to Houston, but if Rafael Stone uses it properly, it could bring an impact rotation player to the Rockets.

Houston can minimize their mistake

Dallas just recently used a trade exception to acquire Santi Aldama, a 25-year-old forward who averaged 14.0 points and 6.7 rebounds last season. That is the type of transaction Rockets fans should be hoping for. This could be a very useful tool for Houston’s front office to address the roster’s need for shooting and ball handling.

Overall, signing Finney-Smith was a failure. Houston expected him to be an impact three-and-D veteran presence, but he could not stay on the floor enough to justify his contract.

However, every front office makes mistakes. The best front offices find ways to minimize those mistakes. Houston has an opportunity to do that now.

The Rockets cannot undo the Finney-Smith signing. However, if they use this trade exception to add an impact rotation player, they can still keep this mistake from becoming a true disaster. They need to capitalize on that opportunity.

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