From the Sports Network:

The Minnesota Timberwolves waived forward Juwan Howard on Monday, buying out the veteran’s contract.

"The thinking was to get some kind of cooperative effort between the
two of us," Timberwolves vice president of basketball operations Kevin
McHale said. "We had some offers from teams who weren’t playoff teams
that wanted a veteran leader, which would have been the same situation
as here. He wasn’t happy about that."
 
 
Kent Youngblood/Star Tribune on Howard’s buyout:
Instead, the Wolves owed Howard $14,259,300 over the next two seasons,
but negotiated the $10 million buyout, which will be paid over four
years, according to Timberwolves owner Glen Taylor.
 
 

The Timberwolves sent a protected 2008 second-round pick to the Spurs
for cash considerations and guard Beno Udrih, whom the Wolves
immediately waived. 

The deal helped both teams.San Antonio was able to avoid taking a luxury tax hit, while the Wolves
were able to get some cash to help them buy out the final two years of
Howard’s deal.
 
Essentially, the Wolves make money on the deal and
will not be in jeopardy of losing the pick because it is protected. San
Antonio, which gained salary-cap relief from the trade, will not
receive the pick after next year.
 
 
Click here for the official roster. Kevin McHale on the current lineup:
We were able to do some stuff and get down to 15 (players). I do like
the blend that we have of young guys and old guys. I was impressed
today in practice when I saw Mike (Doleac) and Antoine (Walker) out
there. They both know how to play, both are in the right spots and are
doing a lot of the veteran stuff that you want. The only negative right
now if that Randy Foye’s knee is bothering him. We need to somehow get
him back in there. It’s been interesting getting to this number but I’m
glad with what we’ve got.