Lets see how much money they lose from last year.
Subtractions:
Jason Giambi: 23 million (- a buyout of 5 mil) = 18 mil
Bobby Abreu: 15 million
Andy Pettite: 16 million (he most likely will come back, at around 12 mil)
Mike Mussina: 11 million
Carl Pavano: 13 million
Thats 73 million that is being subtracted.
Now, addittions
Alex Rodriguez: A spike of 5 million
Robinson Cano: A spike of 3 million
Thats a total of 8 million (if you couldn't guess,

)
So overall the plus minus is 65 million.
Assuming CC gets about 20-22 mil per year, Pettite at about 12 million, and Tex at 25 mil means the total is 59, which is still 6 million less than what they are losing.
Then add in someone like Burnett or Lowe at 15 mil, and thats a hike of about 9 million to field a much better team.
A lineup of Damon, Jeter, Tex, A-Rod, Posada, Matsui, Nady, Cano, Gardner (I'm guessing the lineup, no rhyme or reason)
and a rotation of CC, Wang, Joba, Burnett/Lowe, Pettite
The bullpen is fine IMO.