The expectation now is the veteran forward will be placed on unconditional waivers for the purpose of terminating his NHL contract. That would allow the 45-year-old Czech native to return to Europe and potentially play for HC Kladno in the Czech League, a franchise he co-owns.
Jagr signed a one-year contract with the Flames on Oct. 4, but had just one goal and six assists in 22 games.
Jagr has recorded 766 goals and 1,921 points over his NHL career, good for third and second all-time in those categories.
He has also played in 1,733 career games, behind only Mark Messier (1,756) and Gordie Howe (1,767) in league history.