The new Atlanta Falcons regime now consisting of general manager Ian Cunningham, president of football Matt Ryan and head coach Kevin Stefanski is well underway.
Over the past week, the team has been knee deep into free agency, attempting to fill holes in the roster ahead of the 2026 season. The Falcons have signed 15 players to deals, that includes former Miami Dolphins quarterback Tua Tagovailoa on a league minimum.
That works out for the Falcons who are still adjusting their salary cap space for 2026. In fact, the team made another move to adjust their cap space recently, by restructuring cornerback A.J. Terrell’s contract.
Falcons Create Cap Space With A.J. Terrell Restructure
Atlanta recently tweaked A.J. Terrell’s contract in an effort to open up more financial flexibility for the upcoming season. By shifting a portion of the veteran cornerback’s base salary into a signing bonus, the Falcons were able to lower his immediate cap hit and free up roughly $9 million in space for 2026, according to Spotrac.
The move lowers Terrell’s cap hit to roughly $13.5 million for the upcoming season, giving Atlanta a bit more breathing room as the front office continues shaping the roster. However, restructures like this typically push money into future seasons, meaning Terrell’s cap number is expected to jump significantly over the next two years.
His cap hit is projected to climb to $27.5 million in 2027 and $29.5 million in 2028 before dropping to $5.5 million in the final year of the contract.
Updated Cap Hits 2026: $13.5M 2027: $27.5M 2028: $29.5M 2029: $5.5M (void)
For now, the Falcons gain immediate flexibility as they continue navigating free agency under Cunningham’s first offseason in charge. Atlanta has avoided splashy signings so far, instead focusing on low-risk deals that help fill depth needs without creating long-term cap issues.
According to projections from Over The Cap, the Falcons are estimated to have roughly $22 million in available space, though that number could fluctuate once the full details of recent contracts are finalized. The team will also need to keep enough cap room available to sign its 2026 draft class and potentially work on future extensions for core players.
A.J. Terrell Remains Key Piece Of Falcons Defense
Terrell has been one of the most consistent bright spots for Atlanta’s defense since being selected in the first round of the 2020 NFL Draft. Over six seasons, he has developed into the team’s top cornerback and a dependable presence in the secondary.
In his career, Terrell has totaled six interceptions, 61 pass breakups and six forced fumbles while allowing opposing quarterbacks to complete just 58.4% of their passes when targeting him.
Even without recording an interception last season, Terrell still produced one of the most efficient coverage seasons of his career. In 15 games, he held opposing receivers to a 53.1% completion percentage, allowed just 6.2 yards per target and posted a quarterback rating allowed of 87.8.
With the Falcons continuing to reshape their roster and manage their salary cap, Terrell remains a foundational piece of the defense moving forward. As the team transitions into a new era under Cunningham and Stefanski, Atlanta will be counting on veterans like Terrell to anchor the unit while younger talent continues to develop around him.
Falcons Make Key Cap-Saving Move With A.J. Terrell Contract