Industry sources close to T.R. Sullivan of MLB.com says trade discussions between the Texas Rangers and the Seattle Mariners are “heating up” over Cliff Lee, but there is nothing imminent.

Club officials of the Rangers have acknowledged that GM Jon Daniels has been working hard to find a way to acquire the left-handed starter. The Rangers believe they are in a far better position than any other team because of the solid talent in their farm system.

The big problem the Rangers face is their bankruptcy/ownership transition. The Rangers have some flexibility in the budget, but if they do something that goes beyond the budget, it is likely they will need to get special permission from MLB.

Sullivan says that big bats such as Justin Smoak and Chris Davis could be options. If the Mariners want pitching, they could go after Derek Holland and Blake Beavan, and if they want a catcher, Jarrod Saltalamacchia could be an option.

The Rangers believe they are well-positioned to win the Lee sweepstakes as long as the financial hurdles do not get in the way.