So I live in Ann Arbor and happened to be watching when this segment came up. I believe the wording was that Steven Threet MAY transfer and that at this point it was not confirmed. So while the writing appears to be on the wall this is by no means an official confirmation.
"The University of Illinois is also in turmoil. The university sports an Interim Chancellor, an Interim Athletic Director, and an Interim Football Coach; the game will be played at Soldier Field, making this an Illini Interim Home Game."