Wouldn't call him terrible because of his two last Edmonton years, nobody can get good numbers behind that defense, just ask Dubnyk. 91,9% SV and a 2.63 GAA in 26 regular games last season with Calgary, along with 92.4% SV, 2.42 GAA in 10 playoff games.
Is a great signing? Eh, one year too much perhaps. But the cap hit isn't too terrible and if he keeps up his Calgary-form rather than his Edmonton 08-09 form, it's good enough. He's going to be exposed in the expansion draft anyway. Kahkonen gets protected.