"Almost a year after the Orlando Magic made a risky trade to acquire Gilbert Arenas, the team has cut him loose in an attempt to make their salary-cap and luxury-tax figures more palatable.

The Magic announced Friday that they have waived Arenas and designated him as the franchise's amnesty player.

Arenas will receive about $62 million over the next seasons. The Magic will pay all of that unless a team makes a bid on him in a modified waiver-wire process.

Using the amnesty clause means that Arenas' remaining salary will come of off the team's salary-cap and luxury-tax totals immediately."