OK, if there's more to this story, why not tell us EXACTLY WHAT HE SAID? Why cloak the entire article in "He said something racially insensitive?". Are they afraid we'd all melt at the remark?
Likely whatever it is was blown out of proportion and/or taken out of context, but with a lawsuit likely pending, they'll keep their cards close to their vests.
Which means whatever he said, it was either stupid or can be painted that way without much effort. Some things just don't get tossed into the arena with all the howling for blood out there, and Fox is shifting left anyway, so they don't want to mess up their market.
They're stuck between being called racially insensitive and sacking a liberal.