Loyalty? He did a job for us, we paid him handsomely for it, if he can continue to provide us a service, great, if not, thanks and see ya.
He had his chance to sign a deal and didn't, we can't afford to pay him and his replacement for the first half of the season, we can barely afford to pay for players we can use. So no, he shouldn't be given a contract yet.
I'm in there now, and apparently I'm the only poster who can cause a furore by posting his age. As for this thread, it makes no real financial sense to give him a new contract. In an ideal world you'd give him a new contract out of sentiment, but this isn't an ideal world.