11:10am: The Knicks have officially announced the front office shake-up, naming Mills as the team's new president and general manager. Grunwald remains on board as an advisor, according to the release.
Mills' return to the Knicks comes as even more a surprise because he had long been considered the favorite to replace Billy Hunter as the executive director of the NBPA, according to multiple reports.
11:01am: Former MSG president and CEO Steve Mills is expected to return to the Knicks organization in the very near future, according to ESPN.com's Marc Stein. Stein and Ian Begley of ESPNNewYork.com report that the Knicks will soon announce Mills has been hired to replace current GM Glen Grunwald.
While a number of reports, including ESPN's, are suggesting that Grunwald is "out" as general manager, the team's motives are unclear, and it's not yet known whether he'll be re-assigned to another position or let go, tweets Al Iannazzone of Newsday.
Grunwald became the Knicks' interim general manager in June 2011, and was eventually hired on a permanent basis in April 2012. While he wasn't running basketball operations when the team signed Amar'e Stoudemire or acquired Carmelo Anthony, he has overseen many notable moves since then, such as the additions of Tyson Chandler and J.R. Smith, and the decision to let Jeremy Lin walk.