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Selected to play on the Olympic team, James suffered what the U.S. team trainer called a mild sprain.
Avery, the gymnastics coach at Ohio State University, will assist head coach Kevin Mazeika. It will be Avery's fourth Olympics as assistant coach.
The U.S. will face Spain, Greece, Germany, China and Angola is Group B of the preliminary round.
The President has already said he would attend the opening ceremony on August 8.
City officials said the restrictions would eliminate 2 million cars from the city's streets.
Concerns over the smog affecting athletes’ performances are still an issue even with the extreme measures being taken to reduce the smog.
Veteran forward Brian McBride was one of three overage players selected to play for the team.
Matt LaPorta heads a list of mostly top minor league prospects on the brink of making it to the major leagues.
The roster, announced by USA Basketball in Colorado Springs, Colo., also includes 2008 NBA first-round picks guards Derrick Rose of the Chicago Bulls and O.J. Mayo of the Memphis Grizzlies.
The 126-member team is led by three individual gold medal winners from the 2004 Athens Games.