Thunder won't sign Dion Waiters to contract extension

General manager Sam Presti is not one of the lone inhabitants of "Waiters Island."

The Oklahoma City Thunder confirmed Monday night they will not sign shooting guard Dion Waiters prior to the 11:59 p.m. ET extension deadline for players entering the fourth year of their rookie scale contracts.

"Given the true and unknown impact of the pending salary cap spike and its impact on team building, salary values, and the potential for further changes to the cap system itself as a whole prior to the summer, Dion, his representation, and Thunder agreed that with such lack of clarity it's best to pick up the conversations in July," Presti said in a statement.

The two sides were reportedly working toward an extension in mid-October, but those talks have ended.

Presti acquired Waiters in a three-way trade last season in hopes of harnessing the 23-year-old's talents, but Waiters remained maddeningly inconsistent in 47 appearances for the Thunder.

Waiters averaged 12.7 points in 30.3 minutes per game, while shooting 39.2 percent from the floor and 31.9 percent from deep last season.

This year, however, Waiters looks to be somewhat changed. His averages through three games look much the same - if not worse - as last year, but he posted a strong preseason performance, and his usage rate (now at 16.3) has mercifully dropped from his previous mark of 25.1 percent.

Waiters ranks as a notoriously streaky shooter and an inconsistent defender. However, his size and ball-handling abilities makes him an intriguing prospect.

The Cleveland Cavaliers drafted Waiters fourth overall in the 2012 NBA Draft. He will become a restricted free agent next summer so long as the Thunder tender him a qualifying offer.