George King:

According to industry sources, the Yankees have Hillenbrand high on their list. Their plan is to use Jason Giambi as a DH, thus creating a need for a first baseman who isn't a left-handed hitter because the Yankees have lefty swingers Bobby Abreu, Johnny Damon, Hideki Matsui, Robinson Cano and Giambi in the lineup. ...

Dan Horwits, the agent for Octavio Dotel, said the Yankees have an interest in bringing the right-handed reliever back. "They want to re-sign him and we are working toward that." Danys Baez' agent, Greg Genske, said, "The Yankees have expressed interest in signing Danys" even though Baez wants to close.

Via Pro Sports Daily.