Don't know where I saw/heard it, but I understand the Buccaneers were wanting to trade for him and we turned it down to release him instead. That says we'd rather let him test the market and possibly get a better deal or sign back with us than snag a draft pick out of it. Pretty decent move, I'd say.
And yes, Pete's said he has no problem at all putting Harvin back for returns. While Leon was great at them, so's Harvin, and that puts Leon in a bad position, skills-wise. His one solid contribution to the team just got undermined.