Billy Gillespie was fired. Good job. One down, one Mitch Barnhart to go...
I think Billy would have gotten a third season if he'd just have signed the contract. Yes, the UK coach gets millions a year, but most of that money doesn't come directly from UK. UK pays around $600k - $800k (or so) of the salary directly from the Athletic Association. The rest comes from advertisements, endorsements, and speaking engagements. I think Billy G. wanted to keep getting his millions of dollars, but not do the advertisements, endorsements, and speaking engagements that paid for those millions. That just wasn't going to happen.
I'm disappointed that UK is paying some of the $6 million parachute, but I can understand why they did pay it off. First, they have to fire Gillespie to hire someone else. Second, the next coach has to know that UK will pay off their golden parachute if the deal doesn't work out. I don't think that the letter was a contract (they can argue that Gillespie failed to make a good faith effort to sign a deal), but it's cheaper to pay out that sue.
I personally like the idea of Travis Ford for UK coach. Donovan needs to really consider it, but his wife is probably already told him no way. (Tip to Mitch Barnhart: woo Mrs. Donovan more than you've ever romanced your own wife. It might just get you the #1 coach in the country.)
If John Calipari comes to UK, then we need to take pitchforks and torches to Maxwell Place. Calipari is a sleezeball who cuts corners and leaves storm clouds behind him. If we hire him, we'll have the death penalty within 10 years.
One final aside: I'm surprised that Billy G. can't outrun Alan Cutler.