The team remained hopeful that it can lure him back after he checks out the market.
"We have not closed the door on Travis and we are continuing to talk, but today was a trigger date for a roster bonus that we were unwilling to pay and they knew that," Titans general manager Mike Reinfeldt said in a statement.
Henry, 28, revived not only his career, but the Titans' rushing offense in 2006 by running for 1,211 yards and seven touchdowns.
The Titans traded for Henry, the career rushing leader at the University of Tennessee, in July 2005.
Among other moves Saturday:
â€¢ Tampa Bay signed Jeff Garcia to compete with Chris Simms for the starting quarterback job and traded with Denver for the rights to Jake Plummer, who said on The Jake Plummer Foundation's Web site that he is retiring.
â€¢ Adalius Thomas signed with New England, giving the Patriots one of this season's top free agents and a versatile pass-rushing outside linebacker.
â€¢ Houston signed Pro Bowl receiver Andre Johnson to a multiyear contract extension. Johnson, who had a career-high 103 passes for 1,147 yards last season, had two years remaining on his current contract.
â€¢ Washington agreed to a five-year deal with cornerback Fred Smoot, who will sign his deal today.
â€¢ New England signed 35-year- old tight end Kyle Brady, who played for Jacksonville the past eight seasons, and veteran backup running back Sammy Morris.
â€¢ San Francisco signed defensive tackle Aubrayo Franklin, a former Raven and a native of Johnson City.
â€¢ Denver obtained veteran defensive tackle Dan Wilkinson from Miami for a sixth-round draft pick. The Broncos also signed free agent guard Montrae Holland to a one-year deal.
â€¢ St. Louis signed wide receiver Drew Bennett, who led Tennessee last season with 46 catches for 737 yards.
A few teams held on to some of their free agents: New Orleans re-signed right tackle Jon Stinchcomb; San Diego re-signed guard Kris Dielman; Baltimore re-signed linebacker Jarret Johnson to a three-year, $13 million deal, securing a replacement for Thomas; and Arizona agreed to terms on three-year contracts for running back Marcel Shipp and safety Hanik Milligan.