Wow! - it worked, they read the msg and i was able to delete the line appearance. 
I have got the exts deleted and now added as IP phones. 

  I called 8xx-4951 -2 to test and it comes back as busy. I called the exts to test if they're working and get a busy tone. I stat them and get the below:
  Location    | Device               | State          |  Owner  | ID  |Status   
----------------------------------------------------------------------------    
 1 3  1  23  1| 5320 IP              | Out of Service |         |     |         
 1 3  1  23  2| Unassigned           | Not applicable |         |     |         
 1 3  1  23  2| Alternate Codec      | Out of Service |         |     |         
----------------------------------------------------------------------------    
  Location    | Device               | State          |  Owner  | ID  |Status   
----------------------------------------------------------------------------    
 1 3  1  22  1| 5320 IP              | Out of Service |         |     |         
 1 3  1  22  2| Unassigned           | Not applicable |         |     |         
 1 3  1  22  2| Alternate Codec      | Out of Service |         |     |         
----------------------------------------------------------------------------