Peelle was hurt in practice last week, and the Falcons immediately went out and signed Reggie Kelly. It was unclear how much time Peelle would miss—honestly, it's still pretty unclear at this point—but the Falcons must have felt it was serious enough that they needed to move ahead with Tony Gonzalez, Kelly and Michael Palmer and let Peelle go with a settlement.
Peelle's Falcons career spanned three seasons, during which he made 44 appearances, including 27 starts. The former Oregon Duck hauled in 37 receptions for 370 yards and scored five touchdowns. It's unclear what's next for Peelle; at 32, with an injury apparently severe enough to make paying him to go away more attractive than keeping him his most recent employers, his NFL career may soon come to a close.