However, the Red Sox are still in negotiations with the reliever and remain hopeful that they'll eventually come to terms on a deal.
Donnelly underwent Tommy John elbow-ligament replacement surgery in August and will miss at least the first half of the 2008 season.
The Red Sox did tender contracts to the other 20 unsigned players on the Major League roster.
Donnelly was 2-1 with a 3.05 ERA in 27 outings for the Red Sox in 2007 -- his first year with the team. He didn't pitch after June 10.
The Red Sox now have 37 players on their 40-man roster.
Epstein is a dad: Red Sox general manager Theo Epstein is officially a father. His wife Marie Whitney gave birth to the couple's first child -- a boy named Jack -- on Wednesday at 10:35 a.m. ET.
Jack Epstein weighed in at seven pounds and 14 ounces and was 20.5 inches. Mother and child are said to be doing well.
Next stop is Maine: The World Series trophy is swiftly logging some travel miles. Fresh off a visit to Connecticut on Thursday, the Red Sox will cart their 2007 trophy to Hadlock Field in Portland, Maine on Friday.
The trophy will be available for public viewing at Hadlock Field -- home of the Portland Sea Dogs -- from 11 a.m. -- 4 p.m. After that, the trophy will make its way to the Barbara Bush Children's Hospital at Maine Medical Center at 5:30 p.m.
Ian Browne is a reporter for MLB.com. This story was not subject to the approval of Major League Baseball or its clubs.