Source: Colts to release Peyton Manning

Colts spokesman Avis Roper told The Associated Press he could not confirm the decision — or that a news conference would be held Wednesday — because Irsay was out of town and could not be reached for comment. Neither Irsay nor Manning’s agent, Tom Condon, responded immediately to messages left by The AP.

The decision to pass on the $28 million bonus owed to Manning and not to pick up the four remaining years on his contract means Manning will become a free agent. Sources said Manning intends to continue playing despite missing the entire 2011 season after having his third neck surgery in 19 months, a fusion of two vertebrae.