The other thing we need to keep in mind here is that the C's have a lot of guys under contract or have their rights:
The Starting 5
House
Giddens
Walker
T. Allen
Davis (QO)
Scalabrine
Pruitt (when do they decide on him)
Simply re-signing Powe quickly could eat up valuable roster spots that could be important in a trade.
I hope they do re-sign Powe; however, I also get the angle that if they bring in Sheed, get another center like Oberto at the minimum, bring back Baby, and keep Scal, there really isn't room for him.
Better to let free agency play out. I'm sure no one is knocking down his door with offers.