BOSTON (CBS) -The Red Sox and designated hitter David Ortiz have agreed to a two-year deal worth $26 million.

An MLB source says the two sides agreed to terms Friday night.

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Incentives could increase the deal to $30 million.

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Ortiz batted .318 with 23 home runs in 90 games this past season.

Earlier Friday, the Red Sox extended a one-year qualifying offer to Ortiz worth $13.3 million.

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The Red Sox did not tender qualifying offers to right-handed pitchers Aaron Cook, Daisuke Matsuzaka and Vicente Padilla, first baseman James Loney, and outfielders Scott Podsednik and Cody Ross.