The Yankees have begun negotiating with free-agent outfielder Johnny Damon, sources told ESPN's Buster Olney. If New York is unable to re-sign Damon, they are expected to look at Mark DeRosa and Mike Cameron as options in the outfield. Damon hit .282 with a career-high-tying 24 home runs, 82 RBIs and 107 runs scored in 2009.