San Diego, CA (Sports Network) - The San Diego Padres have agreed to terms with pitcher Luke Gregerson on a one-year contract for the 2013 season, avoiding arbitration.

According to MLB. com, the deal is worth $3.2 million. Gregerson had initially asked for $3.75 million, while the Padres offered $2.875 million.

Gregerson, 28, appeared in 77 games last season, going 2-0 and recording career-bests in ERA (2.39) and saves (9).

Over four seasons with the Padres, Gregerson owns a 11-14 record with a 2.92 ERA in 290 games, all in relief.

With Gregerson signed, third baseman Chase Headley and pitcher Clayton Richard are the Padres' remaining unsigned arbitration-eligible players.

01/28 17:17:35 ET