Multiple industry sources have confirmed to WEEI.com's Alex Speier that the Cubs are expected to introduce Theo Epstein as their new President of Baseball Operations, perhaps as soon as Friday, with Jed Hoyer expected to be introduced as Chicago's general manager in the coming days.
Epstein, currently the Red Sox general manager, will head to the Cubs at a time when he has one year remaining on his contract with Boston, something that will require a compensation agreement involving prospects. Multiple sources suggest that the compensation agreement hasn't been finalized.
While Hoyer has one year and a team option left on his contract with the Padres, San Diego -- which is likely to replace him with Vice President Josh Byrnes, who was the GM under San Diego owner Jeff Moorad when both were in San Diego -- is not expected to seek compensation for Hoyer's departure. Hoyer will be reunited in Chicago with Epstein, with whom he worked closely from 2003-09 in the Red Sox front office, rising from an intern to Assistant GM before taking the GM job with the Padres.
CSN Chicago's David Kaplan was a guest of Mut & Merloni on Thursday. Kaplan gave an update on the ongoing negotiations between the Cubs and Red Sox for Theo Epstein.
"I think the deal is basically done," Kaplan said. "I think an agreement will be leaked out a little later today and I think tomorrow there will be a press conference at Wrigley Field where they introduce Theo as the new president of baseball operations for the Chicago Cubs. And probably three or four days later there will be another announcement that Jed Hoyer is coming in as general manager."
As for compensation for Epstein, Kaplan believes the Sox will land a couple of prospects from the Cubs.
"It's not going to be our top prospect Brett Jackson, it's not going to be Matt Garza, I do not believe it will be anyone of substance off the major-league roster," Kaplan said. "I do believe it will be multiple prospects, not just one. I think Trey McNutt is going to be in the deal, although I haven't confirmed it. … If you do get Trey McNutt, you are getting a guy who will be a starter at the big-league level, he'll be in your rotation at some point in the next two or three years."
An ESPN Chicago report  suggests that the Sox would not get McNutt as compensation. The right-hander -- ranked the No. 48 overall prospect in the majors by Baseball America entering 2011 -- struggled last season as he battled blister problems, posting a 5-6 record with a 4.48 ERA in Double-A. McNutt was 10-1 with a 2.48 ERA, 132 strikeouts and 37 walks in 116 innings in 25 minor-league starts in 2010.