via the Washington Capitals,

Barry Trotz informed the organization today of his decision to resign as head coach of the Washington Capitals. We are obviously disappointed by Barry's decision, but would like to thank Barry for all his efforts the past four years and for helping bring the Stanley Cup to Washington. Barry is a man of high character and integrity and we are grateful for his leadership and for all that he has done for our franchise.

added 3:03pm, Elliotte Friedman tweets,

We had believed Trotz was a free agent this summer. That’s not correct. There was a two-year extension if he won the Cup in WASH. But, as coaches’ contracts have exploded in value, it was below the current market. Both sides tried to negotiate an extension....

But they could not come to terms. Trotz is now a free agent, as WASH will grant permission to other teams who want to talk to him.

added 3:03pm, via Washington Capitals PR department,

Barry Trotz statement-

"After careful consideration and consultation with my family, I am officially announcing my resignation as Head Coach of the Washington Capitals. When I came to Washington four years ago we had one goal in mind and that was to bring the Stanley Cup to the nation’s capital. We had an incredible run this season culminating with our players and staff achieving our goal and sharing the excitement with our fans. I would like to thank Mr. Leonsis, Dick Patrick and Brian MacLellan for giving me the opportunity to be a part of this great organization. I would also like to thank our players and staff who worked tirelessly every day to achieve our success.”