He was scheduled to see a specialist at the end of the season, but no further appointments have been made according to Habs GM Kent Hughes. Hughes went on to say, "the only way we'd have complete clarity is somehow we learn he could not play. Otherwise, we have to go into the season and see how the knee responds when he's back to the rigors of a regular season schedule."
By the sounds of it, the Price has given the Habs no indication since his end of season press conference that he does not intend on playing next season, but he also has not blatantly said he is playing. Kent Hughes has said they would prefer clarity on Price's injury and playing status prior to free agency opening on July 13th.
Hughes was also asked what would happen if Price were not to play next season, to which he replied, "if he's not playing, we would have LTIR that we could use and without it, we don't; without that information, we don't have the luxury of using it." so it doesn't sound like Price would retire, but rather pull a Chris Pronger and stay on LTIR until his contract expires allowing the Habs to benefit from the $10.5M in cap space.
As much as I don't like the Habs, I'm a fan of Carey and hope he finds his way back to the crease. He's had a great career and it would be a shame to have it end this way.