Despite Being released, WWE has yet to acknowledge Kristal Marshall's departure due to the Teddy Long storyline. As far as fans know, she is still at his bedside.
As previously noted, the initial idea was to have Vicky Guerrero be behind the whole thing, causing her to turn into a heel General Manager. The last idea discussed, which Kristal turned down (giving her some heat) would have had her seduce Teddy at the command of Edge, so Edge could gain revenge for the stripping of his World title. Kristal didn't feel comfortable with the sexual side of the idea as she is seeing Bobby Lashley.
She was supposed to be a lot like Lita was when she was with Edge. The company took the refusal the wrong way as in their eyes this was a great opportunity.
She then rubbed people the wrong way by pushing to be moved to Raw with her partner Lashley. Management saw her as getting too big for her boots and terminated her contract.
Credit: Keelan Balderson @ www.wrestlinginc.com