The pair agreed to minor league contracts on Tuesday after being released from their previous deals with Cleveland. The Indians used the moves to get around the provision in baseball's labor contract that requires a $100,000 retention bonus if a player is not released by Tuesday or assured in writing of a spot on the Opening Day roster or major league disabled list.
The pair will remain in Indians camp until Saturday, then likely will be reassigned to Triple-A Columbus.
Slowed by a strained calf muscle, Matsuzaka appeared in four spring training games and allowed two runs in eight innings.
Capps allowing two runs in six innings over six games. The right-handed reliever is recovering from irritation to his right rotator cuff that put him on the disabled list with the Minnesota Twins last September.