I would be pissed if they release Champ. Granted, his salary is a little steep, but it makes no sense to release a veteran who can still contribute at a high level when Manning's window may be 2-3 years to win a superbowl.
Ideally, I'd like to see Champ restructure his contract and move to safety. The Broncos have brought along Moore as the deep center fielder, but I think that position would be the ideal role for an aging Bailey. He gets to sit back and watch the play develop, reading route combinations and the quarterback. If not his permanent position, Bailey could play a role similar to Leonard/Bruton as the third safety. His tackling is solid and he still has the ability to be a huge playmaker for this defense.
We have some young talent at corner, specifically Harris, but I think the Broncos will still look to add another corner to the roster via trade or the draft. I'm not sold on Tony Carter as the second corner, mainly because of his size. His instincts and quickness are great, but it's difficult to stop a receiver that has 6 inches on you height-wise. I would cream my pants if the Broncos could acquire Revis for a reasonable price and field Revis+Harris at corner, Carter/Bolden at nickel, Champ at FS (similar role to Moore's current role), and a solid run-support safety like Carter at SS.