General manager Ned Colletti said Tuesday that the team would consider picking up the option and trading Penny, but ultimately the Dodgers decided against it.

Penny will receive a $2 million buyout.

The right-hander was 6-9 with a 6.27 ERA and 51 strikeouts for Los Angeles in an injury-shortened 2008 season, a disappointing effort following his career year in 2007 when he went 16-4 with a 3.03 ERA.

Penny has pitched nine seasons in the major leagues, spending his first four years with the Florida Marlins before going to the Dodgers in 2004. He is 94-75 with a 4.06 ERA for his career.