Eric Moulds rejected the Buffalo Bills' offer Monday for restructuring his hefty contract, a decision that could lead the team to release its veteran star receiver by as early as this week. "Based on what they're proposing, I guess it's not encouraging," Moulds' agent Harry Henderson told The Associated Press by telephone following a meeting with team officials. "We're way off. ... Our attitude has been optimistic, but realistically it may not happen." Moulds, a 10-year veteran and the team's senior player, has two years left on his contract, scheduled to count $10.85 million against the salary cap next season. His salary would represent about one-ninth of the projected cap, a figure the Bills deem far too expensive.

Offensive lineman Mike Williams was released by the Bills on Thursday, ending an disappointing four-year tenure in Buffalo for the former No. 4 draft pick. The move allows the Bills to save more than $3 million in salary cap space for next season. Williams had two years left on his contract, was due a $3 million roster bonus in July and was scheduled to count about $10.8 million against the cap next season.

The Buffalo Bills will be active in pursuing free agents this offseason, beginning with one of their own. General Manager Marv Levy said keeping cornerback Nate Clements is a high priority, and the Bills are prepared to use the franchise tag on him to make sure that happens. "We will make every effort to retain him," Levy said during an interview with the local media Monday. "We would like to have him back, and I know Dick Jauron has expressed the same and so have the coaches. I think he's a talented player who can get better. "[The franchise tag] is an option and [Clements] is the likely person we'd use it on. I hope that we can do a contract that goes beyond that, but sometimes you have to put the franchise tag on and then work on the contract part of it. It is definitely an option." The franchise tag represents the average of the top five salary cap figures for the position the previous season. The cost of using that designation on cornerbacks has dropped from $8.8 million last year to $5.89 million. Clements earned $2.5 million in base salary in the final year of his original five-year contract and carried a $3.4 million salary cap figure.