I am a little surprised. Just last year he was extended through 2009, so this "resignation" likely included a nice buyout clause, and an agreement by Merfeld not to make any critical comments.
Just to remind people, Merfeld was one of the candidates interviewed by Bradley for the head coaching position in 2002. The records of all of those other candiates (most were up-and-coming, "can't miss" hot prospects) have been poor since then. It would be ridiculous for anyone to argue that Bradley would have been better off with any of the other 9 candidates compared to the correct choice they made.