This is probably true, though you and I have no idea what the actual negotiations are. I doubt Theo has any interest in parting with Buchholz, Kelly, or Westmoreland. He should be confident that the team has many capable pieces that will be attractive--especially to the guys who were patting themselves on the back after the 05-09 drafts (McLeod and Hoyer
McLeod knows these prospects as well as anyone, he drafted them:
http://news.soxprospects.com/2009/08/q-with-jason-mcleod.html
The Yankees have a great team, there's no doubt about that.
I don't think it is in the Sox best interest to break the bank on Jason Bay. Bay probably isn't interested in signing at the price they're willing to pay him to be a LF and then take up 3-4 years hogging up the DH position a la 2009/2010 Mike Lowell. I think Bay is a better hitter than Lowell, but this FO really doesn't like to lack flexibility, either financial or positional, if they can help it. At least with Matt Holliday they can be reasonably assured that he can manage LF for a good portion of the contract.
I'll be pleasantly surprised if they end up with either of them, at this point. I think getting Matt Holliday for a reasonable deal when the market seems quiet would be a good move, but I'm not sure how much that would cost. Likewise if Bay is really not interested in going anywhere that wants him (specifically NYM) then maybe he comes back to the Sox at a reasonable Ortiz-like deal. It's not my money so the luxary tax hit and lack of future payroll flexability doesn't mean as much to me as it probably does them.
Signing Bay all-but assures the notion that Ortiz will be leaving town after 2010 and Bay is waiting to take his place; it could also portend an Ellsbury move. Clubhouse anxiety isn't a great thing on a team that is already playoff-good. They can't sign too many replacements for the expiring contracts without it causing some trouble, and they were quick to try to reassure Beckett after the Lackey signing.