Jan 07, 2009 10:13 AM EST

Andy Pettitte recently rejected a one-year, $10 million pact from the Yankees, an offer that will be hard for the team to reduce once again.

One source claims that New York may have retracted the $10 million bid, perhaps closing the door on Pettitte's return to the Bronx.

It is believed that the Yankees will provide a lower standing offer, or end negotiations with Pettitte altogether.

Via New York Post