Dan Duquette, the Orioles executive vice president of baseball, said that the club was not satisfied with the results of Balfour's physical. He noted that the Orioles will not try and restructure the agreement and will turn their attention elsewhere. Duquette didn't mention the specific concerns on Balfour, but he had Tommy John surgery in 2005 and Labrum and Rotator Cuff surgery in 2006. Both those surgeries caused Balfour to miss the respective seasons.
Balfour will sign elsewhere. He will probably get around a one year deal for about half of what he got (1-year, $3.75 million). Who is looking for a closer? The New York Yankees, Tampa Bay Rays, and plenty of others. The Orioles, however, have been reportedly looking at Francisco Rodney to fill their closer position.