That seems correct from what I know about Price's contract. Details can be found at his player page: here
MWjr, if you consider that Price's regular cap hit in 2006 and 2007 will be about $6.4 million each, taking a hit of about $1.5 million in 2006 and $4.2 million in 2007 doesn't seem very bad.
The problem with waiting until June 2006 to cut Price is that it means we have to eat a $500,000 roster bonus due to him next March. Considering our cap situation will likely be just as tight next off-season as it was this off-season, that's a lot of money to swallow just in order to save approx. $2 million in June.
The Falcons may be better off just cutting Price next March before the roster bonus hits. That means about $5.8 million of Price's bonus is accelerated, but we will still save about $700,000 against the '06 cap if we do so.