In four big league seasons with Washington, Cole posted a 5.32 ERA in 110 innings. He made four appearances this year, going 1-1 with a 13.06 ERA. Cole was once a touted prospect after the Nationals selected him in the fourth round of the 2010 Draft.
Cole will be added to the Yankees' 25-man roster. Right-hander David Hale was designated for assignment in a corresponding move. Making his Yankees debut, Hale pitched two scoreless innings in New York's 14-1 victory over the Twins on Monday.