Damon Lapa said that Correia will decline arbitration to pursue interest from other teams, though he indicated that Correia "still has an interest in returning to San Diego."
Last week, the Padres offered three players arbitration: Correia, pitcher Jon Garland and catcher Yorvit Torrealba. Garland signed a one-year deal with the Dodgers on Saturday. On Monday, Torrealba signed a two-year contract with the Rangers.
Players have until Tuesday to accept or decline arbitration offers from the teams that they played for in 2010.
Because Correia, Garland and Torrealba are Type B free agents, the Padres will receive three supplemental Draft picks between the first and second round in the First-Year Player Draft in June.
The Padres already have two picks in the first round -- one of their own, the other for their failure to sign pitcher Karsten Whitson -- meaning they'll have five selections in the top 60 of what many believe is a considerably deeper Draft than 2010.
Correia was 10-10 with a 5.40 ERA in 26 starts for the Padres in 2010. He lost his spot in the starting rotation to Tim Stauffer in September. Correia was 12-11 with a 3.91 ERA in 2009. He made $3.6 million last season.
The Padres are looking to add at least one starting pitcher to a staff that already includes Stauffer, Clayton Richard and Mat Latos. There are internal candidates who will compete for spots in Spring Training, namely left-handers Cory Luebke and Wade LeBlanc.