Really can't help out too much on this as there is no picture to refer to. Theoretically yes it is ok.
Good maintenance to your Bike, can make it like the wheels are, true and smooth!
Yeh I agree with Bill. In order to help we need some technical information and good photos are a big help.
If you mean that you took the pedals and crank off and the spindle turns freely but does not spin like a pinwheel that is normal, it should turn freely but should not have any side to side play or feel gritty.
If its 12 years old it would be a good time to grease it and replace the bearings, unless its a sealed Bottom Bracket.
See the repair guide for info.........
Never Give Up!!!
It should rotate freely with no "pepper grinder" sensation in your fingertips. It will not "spin" as in spin like a top, unless you have one or both crank arms installed, in which case you can make it spin a few rotations on its own.
H: It's just a Shimano cartridge bearing, so don't think a picture would tell you anything. But seems like the question was answered - even though it's old, the spindle turns smoothly and there's no play, so seems like it's still good. Thanks!