to be clear, all free agents (barring some kind of contractual stipulation) can be offered arbitration.  they can decline arbitration and sign elsewhere or  they can accept arbitration and remain with the team.  if a free agent (like suppan) is offered arbitration but signs with another team the cardinals will be entitled to draft pick compensation.  walt probably doesnt want to sign type A free agents that have been offered arbitration because it would mean losing the #18 pick.

this is a little different than what is going on with players with less than six years of service time.  those players are not free agents.  generally the first three years the player's salary is set by the team.  after that, they are arbitration eligible.  if the player and the team cannot agree on the salary, the salary is set by an independent party.  taguchi isnt a free agent right now.  he is arbitration eligible and will remain with the cardinals (with his contract determined by arbitration if he cant reach an agreement with the cardinals) or be non-tendered.  if he is non-tendered he becomes a free agent.  i dont remember when the non-tender date is, but it isnt Dec 1.