Transactions listed are from July 1, 1980 to June 30, 1981

• September 11, 1980

  Traded Mickey Johnson to the Milwaukee Bucks for George Johnson and a 1982 2nd round draft pick (Jose Slaughter was later selected).

• September 25, 1980

  Waived John Kuester.

  Waived Dick Miller.

• October 9, 1980

  Signed Jerry Sichting as a free agent.

• November 11, 1980

  Signed Dick Miller as a free agent.

• November 24, 1980

  Waived Dick Miller.

• November 25, 1980

  Traded a 1981 2nd round draft pick (Al Leslie was later selected) and a 1982 2nd round draft pick (Jose Slaughter was later selected) to the Phoenix Suns for Don Buse.

• December 11, 1980

  Waived Kenny Natt.

• December 26, 1980

  Signed Tom Abernethy as a free agent.

• May 25, 1981

  Received a 1981 2nd round draft pick (Ray Blume was later selected) and a 1982 2nd round draft pick (Guy Morgan was later selected) as compensation for the Cleveland Cavaliers signing James Edwards as a veteran free agent.

• June 5, 1981

  Traded a 1984 1st round draft pick (Sam Bowie was later selected) to the Portland Trail Blazers for Tom Owens.

• June 8, 1981

  Traded Dudley Bradley to the Phoenix Suns for a 1981 2nd round draft pick (Al Leslie was later selected) and a 1982 2nd round draft pick (Jose Slaughter was later selected). Phoenix also relinquished the option to swap 1st round draft picks with Indiana in 1983.

• June 9, 1981

  Drafted Herb Williams in the 1st round (14th pick) of the 1981 NBA Draft.

  Drafted Ray Blume in the 2nd round (36th pick) of the 1981 NBA Draft.

  Drafted Al Leslie in the 2nd round (37th pick) of the 1981 NBA Draft.

  Drafted Purvis Miller in the 3rd round (60th pick) of the 1981 NBA Draft.

  Drafted Rolando Frazer in the 4th round (83rd pick) of the 1981 NBA Draft.

  Drafted George Peterson in the 5th round (106th pick) of the 1981 NBA Draft.

  Drafted Robert Fronk in the 6th round (129th pick) of the 1981 NBA Draft.

  Drafted Larry McKinney in the 7th round (152nd pick) of the 1981 NBA Draft.

  Drafted Len Hatzenbeller in the 8th round (174th pick) of the 1981 NBA Draft.

  Drafted Scott Whitley in the 9th round (195th pick) of the 1981 NBA Draft.

  Drafted Rodney Benson in the 10th round (215th pick) of the 1981 NBA Draft.

• June 10, 1981

  Traded Ray Blume and a 1982 2nd round draft pick (Rod Higgins was later selected) to the Chicago Bulls for Michael Olliver.