I don't think you'll get anywhere near 200 IP out of him.   He'd have to get 76 appearances for you to break even.  

I seriously doubt you'll use up his innings.  It's hard to get Toney all of his 118 innings as a closer.

list him at Setup with no designated closer and he'll get more innings. If not enough just give him spot starts now and then. I've done this with 2000 Pedro.  this plan works better in a DH league because he doesn't get pulled for pinch hitters.

Rbow is waaaaay smarter than I am but I would think you would need to give him about 10 starts to come close to getting all the innings you can.

It works fine if you are an active manager. say you have a 3-game series against your top competitor. Bring Pedro in for 2 starts, then back to Setup.
He'll get most of his innings at Setup if your SP aren't on high pitch counts and you don't pull him for PH, the biggest problem is he often can't pitch back to back games at 100%

Bumping a good thread on using Elton Chamberlain as a closer.  Thread was started by Bilfert, with interesting game-by-game analysis, and includes good contributions from bootone as well.

Not perfectly analogous -- Chamberlain has only 135 IP -- but still relevant in terms of using a guy like Pedro with a lot of innings and a very low OAV as your multiinning high PC closer.

I'm not sure I'd do this, as it's going to be difficult to get the IP (+10%) for which you've paid. if you're willing to spot start him you might have a winning idea. the problem is going to be the back to back game fatigue you'll face, especially earliy in the year. All this being said, I'd like to see you try it and report back as to how it works.

Here is my 2002 Pedro, from a *nearly* completed Champs League (home park - AT&T):

G  GS  W  L SV SVO    IP       BFP    NP     H   ER  HR  BB   SO   OAV   OBP   SLG  WHIP  ERA 
79  0  25  2   6     7    233.3   944   3349 182  74   11   48   240  .207   .254   .311   0.99   2.85

I did not use Pedro as a closer, but rather as a Long A in a modified superman setup (which, ironically, I never actually tried during the glory days of Super-Maddux).  He was available to come in at either the 4th or 5th inning (varied based on usage and fatigue), pull set at 1, PC at 35-45 (avg. 42), auto-rest at 99, PH setting off.  Pedro only pitched in back-to-back games twice all season (did not give up a run either time, and earned 1 save), and in only 2 other appearances did he come in at 99%.  Every other appearance he was at 100%.  I did not micro-manage him, other than to tweak his inning availability / PC / rest every 10-15 games during the first half of the season; by the ASB he was mostly on auto-pilot. 

Team won 91 games, but lost a play-in game for the playoffs (I did NOT start Pedro, and got Milacki'd ... grrr.....).  Pedro finished 2nd in CY voting; across both leagues the other CY finalists were 08 Joss(x3), 02 Taylor(x2), 07 Joss, 08 Mathewson, 10 Walsh and 72 Sutton(!).  As you can see, I got every penny that I paid for out of him, and more, without a single spot start.  Had I made the playoffs he would have moved to the rotation.  I don't see why you couldn't get similar use out of him at the very back of the bullpen, although appearance fatigue is going to limit him to approx 80 games (more than that and you start gradually degrading your 10% IP bonus).  Personally, though, I think he is more valuable in innings 5-7, rather than 8-9.  Good short-IP closers are way cheap.

I've done this twice now, and it worked like a dream both times.

But $10+ mil for a guy who you will essentially use as a closer is a LOT of money, when there are plenty of very good 25-30 inning closers in the $1 mil range which I use all the time, i.e., Wickman, Milacki, Kenley Jansen, Fu-te Ni, etc. 

Maybe his way of protesting being sent to the pen.  Pedro always had a healthy ego.  Make him a starter again and I promise you he'll do better.