If Oswalt were to pitch like he did in 2005 for the next 5 years, you could argue that his new deal os reasonable. PECOTA sees him declining slightly but steadily over the next 5 years. He projects to be worth $11-$12 million in 2007 but only $6 million in 2010. Of course, it's usually wise to overpay if doing so will lock up a player who will mean going further in the postseason (which generates more revenue through ticket sales, merchandise sales, etc); if the Royals were giving Oswalt this contract it would be stupid of them, but if the Red Sox, Mets, etc were doing so it could work out to be defensible. If the Astros don't make the playoffs regularly over the next 5 years, it's a bad deal. Personally, I don't think their core is strong enough to make them real contenders.