Tim Kennedy walked into HSBC Arena expecting to sign his contract before being sent on his way Monday with a little pep talk from General Manager Darcy Regier.

Instead, the left winger signed his deal and basically was sent packing in a move that left the South Buffalo native shocked, hurt and searching for answers.

The Sabres waived Kennedy in an apparent effort to get around an arbitration award last week that would have paid him $1 million this season, about $200,000 more than the Sabres were offering. Under league rules, they were not allowed to walk away from the ruling because the salary was too low.

Kennedy was among many who never saw the decision coming. He signed the contract before Regier gave him the bad news. Kennedy said he was speechless.

"It hurts," Kennedy said. "This is not what I envisioned for the last month of the summer before the season started. It's tough. I hope this isn't the end, but it doesn't look too good right now. You grow up watching this team your whole life. I don't even know what to say right now because I'm so shocked."

Regier was not available Monday because he wanted to wait until Kennedy cleared waivers at noon today before discussing the decision. Their reason for waiving Kennedy wasn't clear, but one reason might be fitting veteran defenseman Shaone Morrisonn into their budget.

Morrisonn, 27, signed a two-year deal Monday worth $4.15 million. He will earn $2.075 million in each of the next two seasons. Morrisonn spent the previous five seasons with Washington.

The 6-foot-4, 215-pounder made $1.975 million with the Capitals last season before becoming an unrestricted free agent. He gives the Sabres some much-needed size, toughness and experience.

Kennedy was waiting Monday to see if he would be picked up by another team. If not, the Sabres could keep him but are more likely to buy out his contract for $333,333.33 and allow him to become an unrestricted free agent. For players under the age of 26, the buyout total is one third of their salary.

"I'm kind of just nervously awaiting a call of any kind," Kennedy said. "This is not the start to the week that I thought I would have. ... In the short time I've played with the team and been in the league, I've learned that it's all business."

Kennedy, 24, had 10 goals and 26 points last season while playing mostly in a defensive role against the opposition's top scoring lines. He had periods of inconsistency during his rookie season but played well down the stretch. He was among the Sabres' better forwards before they were eliminated by Boston in the first round of the playoffs.

His speed and skill were apparent last season, and he appeared to meet Lindy Ruff's demands for gritty, hard-working, two-way players. Kennedy's effort was not an issue even when he struggled to produce results. If anything, it appeared he would become more effective if given more time on the top two lines and the power play.

And as a hometown player, he was a fan favorite.

"It makes no sense to me," said Kennedy's agent, St. Louis-based Allain Roy. "You'll have to talk to Darcy on that one. It's an enigma to everybody in hockey."

The move goes against the Sabres' practice of developing players but falls in line with their history of watching players leave when the price becomes too high. In this case, the arbitration award hardly broke the bank. Regier offered no hints Kennedy would be waived after the ruling last week.

"I expected maybe them telling me that because of the award the arbitrator gave me that more would be expected of me. I did not expect that," Kennedy said. "I wish I could tell you more, but I really don't know what to say right now. It totally blindsided me."

Buffalo could not walk away from the $1 million award because it was less than the NHL's specified floor figure for arbitration, which for this year was slightly more than $1.6 million. The Sabres were about $9 million under the $59.7 million salary cap Monday, which made their decision more surprising.

The Sabres acquired Kennedy from Washington in 2005 moments after he was selected in the sixth round months before his first year at Michigan State, which he led to an NCAA Championship in 2007. He spent a year in AHL Portland and earned a job with the Sabres last year after playing well on both ends of the ice during training camp.

Kennedy said he spent about five hours Monday staring at the television while trying to comprehend the decision and wondering about his future.

Toronto GM Brian Burke selected him to play for the United States in the World Championships after the season. He's almost certain to land a job somewhere if he's not claimed off waivers before noon today.

"I keep trying to tell myself that this whole thing is real, and it's not just some rumor, but that it's actually happening," Kennedy said. "I'm having a hard time grasping that fact right now."

bgleason@buffnews.comnull