Nick Cafardo of the Boston Globe reports that Melky Cabrera is out of options. Meaning that, if he is taken off of the 40 man roster (to make room for someone else, for example), the Yankees will have to either trade him or place him on waivers, giving other teams a crack at him, before being able to send him down to the minors.

Update: Edited for clarity, as reflected in the comments. Thanks Mike.

Via Nat Boyle.