I just read this on PWinsider.com:
Watching Raw, 2/28. Twenty minutes into the show and all I can think of is "Who did Sheamus piss off?" One pedigree on a (badly) gimmicked table and the ready made HHH feud appears to be done. He then goes on to be pinned quickly and cleanly by a returning Evan Bourne. Yeah, I know, he was still selling the pedigree, but wow, he really came across as an 80's jobber tonight. What's happening with King Mayo?
Sheamus hadn't reached an agreement for a new deal with WWE, so Sheamus definitely got depushed for a while. They definitely weren't going to put him over until they knew he was locked in. That included the rather abrupt end to the HHH feud, although that was getting dropped anyway so HHH could do the Undertaker program.