In position to win their first division title in 30 years, the Kansas City Royals on Sunday acquired right-hander Johnny Cueto from the Cincinnati Reds, five days before the trading deadline and four days after learning starter Jason Vargas likely would require elbow surgery. Nearing free agency, Cueto was 7-6 with a 2.62 ERA for the sagging Reds and will upgrade a Royals rotation rendered mediocre by injuries and underperformance. Cueto threw eight shutout innings Saturday in Colorado after learning he may already have been traded to the Royals, a deal that reportedly was redrawn when a player going back to the Reds failed a physical.