New York acquired McGehee on July 31 from the Pittsburgh Pirates for right-handed pitcher Chad Qualls. McGehee, 30, played in 22 games with the Yankees, mostly at third base and first base. He went 8-for-53 with six RBIs, nine runs and 10 strikeouts while in New York.
McGehee was originally a tenth-round draft pick of the Chicago Cubs in 2003. He made his major league debut in 2008 with the Cubs and was picked up by the Milwaukee Brewers in 2009 where he had his best seasons as an everyday third baseman.
The Yankees also returned Brad Meyers, a Rule 5 Draft pick, to the Washington Nationals. The right-handed pitcher spent the 2012 season on the disabled list with a shoulder injury.