Pedro wants $7 million, and the Pirates don't want to pay that much, so it doesn't look likely that he'd sign with the Pirates. If the Pirates don't overpay free agents or promise them something other teams won't, they won't come here.
If the Pirates were to pay him $7 million, though, I'm not sure that would bother me much, as long as it's not a multi-year commitment. Martinez has worked with Joe Kerrigan before, and if he were to enjoy a comeback while playing for the Pirates, it would be a great story and a great way to bring fans to the stadium. Perhaps, as Pat notes, Martinez might also be able to help Ian Snell, who like Martinez is a short righty with good stuff. That's not worth $7 million, but it's something.
I wouldn't sign Martinez if I were in charge, though. It probably wouldn't be a good baseball move--Martinez hasn't had a particularly good season since 2005. There's also the chance that Martinez would get hurt or really struggle, and all of a sudden the signing would turn into a big joke, along the lines of Jeromy Burnitz with the Pirates or, say, Vinny Castilla with the Devil Rays. Also, while Martinez wouldn't really be blocking anyone, exactly, I'd probably rather see the Bucs sort through their many younger rotation options.