The discussions between the teams have been ongoing for weeks, though the parameters and pieces have continually changed. If the deal comes to fruition, the sources said, it would likely include Tinsley, Jeff Foster and a third player (Brandon Rush, Stephen Graham, Marquis Daniels) going to the Bobcats for Felton, Nazr Mohammed and Sean May.
One source said there was only one team other than the Bobcats interested in Tinsley, who has been told to stay away from the Pacers since the start of training camp while Indiana tries to trade him. Tinsley has two years remaining on his contract after this season for $7.2 million and $7.5 million, making the task of moving him even more difficult for Indiana president Larry Bird.
See how a possible deal sending Indiana's Jamaal Tinsley, Jeff Foster and Brandon Rush to Charlotte for Raymond Felton, Nazr Mohammed and Sean May works. Trade Machine
The sources who spoke to ESPN.com indicated the current hang-ups in the Bobcats-Pacers talks included:
• The Bobcats' insistence on including Mohammed in any deal, with Charlotte wanting to get rid of his remaining two years ($6.4M and $6.9M) in return for assuming Tinsley's guarantee.
• How much value Charlotte would get in return for Felton, who becomes a restricted free agent July 1 (and whose asking price, the Bobcats fear, will be more than they are willing to pay).
Three sources, who spoke on condition of anonymity, described the discussions as "active," though none would go so far as to say a Tinsley-Felton deal was likely prior to the Feb. 19 NBA trade deadline.
In a conference call with reporters Tuesday, Bobcats executive Michael Jordan said he likes the improvement Felton has shown, but wouldn't rule out trading him. Though Jordan did add, that's "not what our intent is as of right now."
The sources also said the Bobcats and Pacers had discussed a different version of a Felton-Tinsley deal earlier this season that included Adam Morrison and Shannon Brown, the two players the Bobcats ended up dealing to the Los Angeles Lakers last week for Vladimir Radmanovic.
Chris Sheridan covers the NBA for ESPN Insider. To e-mail Chris, click here. Information from The Associated Press contributed to this report.