BINGO, if he got anything less that honorable he would not be retired from military service.
He's not 'retired', just released. If you are retired, in some sense you are still in. At least that's the case for commissioned officers. For example, Robert Heinlien was medically retired well before WW-II, but was very proud to still be carried on the retired list. The other Senator Kerrey (Bob, ex of Nebraska) is similarly on the retired list as medically retired.