The Nugs are screwed for the next season, but they have solved some money issues. This deal can't be graded until the Nugs have used the TE.
Given the fact that Camby is worth double his contract due to the Nugs being over the cap then they are saving roughly $22 million next season. They are still currently over the cap, but not totally spilling blood Knicks style.
TE like this expire after twelve months so the Nugs still has the option of using the $10 million trade exception generated in the deal. They could use it right now, but more likely they will hang on to it until next year's draft and see who becomes available because using it.
As mentioned, Iverson expires at the end of the season. They don't use the TE, let AI expire and a few others then they will have close to $30 mill of the books. Melo is signed up, Smith will be resigned, Nene is signed up and Kleiza is in the bag. All these guys are currently under the age of 25. Use this cap space to replace AI with a younger star and reload for another tilt.
Nugs are definately lotto bound next season without a doubt, but they become serious players just before the draft and in 2010 FA class with Lebron and co.