Kyle Terada-US PRESSWIRE

The Oklahoma City Thunder locked up Serge Ibaka for the next four years a few days ago. The deal was initially reported to be worth only $40 million but was soon after said to be worth $48 million.

Now it is reported that Ibaka’s deal will guarantee him $49 million and he could earn as much as $51.5 million if certain individual or team goals are met. Ibaka will make at least $12.25 million each season.

This isn’t huge news but it does give a better idea for just how much Ibaka will be making and every penny does count with the luxury tax looming for OKC.

If the deal was $48 million, often times a player starts out making a little less than what they would average over four years, and then the deal incrementally goes up. Now we see that Ibaka will already be earning at least $12.25 million in 2013-14.

There’s no question that Ibaka is worth this money and that the Thunder made the right move to lock him up. It wasn’t for chump change though and the Thunder should feel the effects of the luxury tax in 2013-14.

The Thunder never said they wouldn’t enter the luxury tax and maybe they are just completely okay with doing so now.

The next thing on the agenda for the Thunder is James Harden and getting him to sign an extension too. He should get around the same as Ibaka and he would be sacrificing a significant amount to stay in OKC, but that does seem what Harden wants to do.

Derick E. Hingle-US PRESSWIRE

The Oklahoma City Thunder locked up Serge Ibaka for the next four years yesterday, agreeing to a 4-year, $48 million contract extension with him.

Ibaka was one of three Thunder players eligible for an extension this summer with James Harden and Eric Maynor being the other two.

Harden was always thought to be the first priority for the Thunder with Ibaka possibly becoming the odd man out, if the Thunder were going to choose between the two. Now that the Thunder have locked up Ibaka, Harden’s future with the team seems uncertain to some, but not GM Sam Presti.

“We’re going to continue our conversations with James. We very much value him,” Presti said on a conference call yesterday. “We want him to be part of the organization moving forward. We’re excited he’s a member of the Thunder and we hope he’ll be with us for years moving forward.”

The only thing that has stood in the way of OKC extending Harden and Ibaka is the looming luxury tax. By extending both of them, the Thunder are almost guaranteed to suffer harsh luxury tax penalties which would be tough for them being in a small market.

It looks like the Thunder are going to bite the bullet and pay the luxury tax at least for a season or two because it feels like the Harden extension is coming soon.

“These type of things have their own tempo. Their own rhythm. They happen independently of one another,” Presti said. “Sometimes you get to that point a little bit sooner, but it doesn’t necessarily mean those conversations are at different rates or any indications of one way or the other.”

This makes sense too and should make Thunder fans feel better. The Thunder were by no means picking Ibaka over Harden by signing him first, it was just a little easier to negotiate and come to an agreement with Ibaka.

Harden will be trickier. While Ibaka didn’t sign for close to the maximum, Harden and everyone else certainly know that he is worth a max-deal and will get one next summer if he becomes a restricted free agent. That means these negotiations will take a little more time.

By all accounts, Harden is committed to staying in OKC for the long haul and the Thunder organization is committed to keeping him. They realize what this situation is and how rare it is to have a young core as talented as this one. They’re not going to waste this opportunity and they will let the potential of this team play out.

How awesome is that?

Jayne Kamin-Oncea-US PRESSWIRE

Coming into this summer the Oklahoma City Thunder were faced with the task of finding out a way to keep their young core of players together for the future. With Kevin Durant and Russell Westbrook already locked up through 2016, the attention turned to James Harden and Serge Ibaka.

Harden and Ibaka had just finished their third seasons in the NBA and now became eligible for extensions. If the Thunder were not to extend either of them, they would become restricted free agents next summer.

The Thunder announced today that they had agreed to a 4-year, $48 million extension with Ibaka. That’s a good amount of money to invest in Ibaka but considering the contracts being handed out to other power forwards in the league, the Thunder probably came away with a good deal. Ibaka has the kind of potential that could have drawn a max-offer sheet from another team next summer if it came to that.

Harden will undoubtedly receive a max-offer sheet if he is a restricted free agent next summer. That was made pretty clear when Eric Gordon signed a 4-year, $58 million offer sheet with the Phoenix Suns this summer that the New Orleans Hornets matched.

The Thunder don’t want to have to pay Harden quite that much if they can help it. Consider that Nicolas Batum signed a 4-year, $45 million contract this summer. One has to believe Harden is worth more than him and should get at least what Ibaka got and probably more.

If the Thunder extend Harden for around that amount, they will have $55-65 million tied up per season in Durant-Westbrook-Harden-Ibaka through 2016. Right now the salary cap is just over $58 million with the luxury tax threshold at $70.3 million. In the new CBA, tax penalties for having a team salary over the luxury tax are very harsh and even harsher for repeat offenders, which the Thunder would likely be in 2015 and 2016.

Because of all this, there is some thought that the Thunder are maybe choosing Ibaka over Harden by extending him today and doing it before Harden.

I don’t believe this is true and still believe that keeping Harden is the No. 1 priority for GM Sam Presti and this franchise. The Thunder won’t have to worry about the luxury tax next season if they extend Harden and there is even a chance they could avoid it or at least barely go over it in 2013-14 especially if they amnesty Kendrick Perkins, who is owed nearly $8.5 million that season.

The Thunder players often talk about sacrifice with this team. Harden most notably brought up the word in his exit interviews after the NBA Finals. Ibaka is sacrificing some money by agreeing to the contract he did today. He’s making just $3 million more than JaVale McGee over four years and is making the same amount per season as Kris Humphries. Ibaka would have been worth much more next summer if he became a restricted free agent.

Harden will have to sacrifice too and that means probably taking less than what Gordon got and probably settling for a number very close to what Ibaka got. Maybe Harden will sign for four years, $50 million or four years, $55 million, which is what Rajon Rondo signed for back in 2009 with Boston. That sounds about right.

I think that Thunder fans should not worry about Harden’s future with the team now. Ibaka getting his extension today simply makes it more clear how devoted the Thunder organization is to the team they have right now. They are going to go all-in on Harden and pay some tax penalties if they have to.

Presti came to the agreement with Ibaka on the same weekend that he is getting married. We’ll have to wait at least a few days then until Harden and OKC reach a deal, but I think it happens sooner than later.

Mike Segar/Pool Photo via US PRESSWIRE

Serge Ibaka and the Oklahoma City Thunder have reached an agreement on a 4-year, $48 million contract extension, according to Yahoo! Sports.

Ibaka is just 22 years old and is entering his fourth season in the NBA next season and along with James Harden became eligible to sign an extension with the Thunder this summer.

Ibaka averaged 9.5 points, 7.5 rebounds and 3.6 blocks per game last year for the Thunder and finished second in the voting for Defensive Player of the Year.

If Ibaka did not sign an extension with the Thunder, he would have become a restricted free agent next summer and could have signed offer sheets with another team while the Thunder would have had the opportunity to match any offer.

The Thunder are getting Ibaka for a decent price. JaVale McGee signed a 4-year, $44 million contract earlier this summer and Roy Hibbert signed a max-deal for four years, $58 million.

Ibaka could have easily seen a little more money if he became a restricted free agent next summer and the Thunder did not want to see that happen.

This is very good news for Thunder camp and makes it seem like Harden will be next to sign an extension soon. Harden seemed the No. 1 priority for the Thunder to get an extension while Ibaka would maybe be the one who the Thunder let go of.

If the Thunder do extend Harden as well, they will almost certainly enter the luxury tax in a year or two, something they’ve never done and would like to avoid especially being in a small market.

The luxury tax penalties become harsher when you cross the tax line for multiple seasons in a row. Even with the Thunder extending Ibaka and Harden, they would be able to get back under the tax line by trading one of them down the line which now seems the most likely scenario for the Thunder to eventually part ways with one of them.

Another way the Thunder could avoid the luxury tax in the near future is amnestying Kendrick Perkins after next season. Perkins will make $7.8 million next season and then is owed $8.5 million in 2013-14 and $9.1 million in 2014-15.

Amnestying Perkins always seemed like the easy way to save some money but now with Dwight Howard being traded to the Lakers, the Thunder may prefer not to part ways with Perkins, who has always been very good at defending Howard.

Thunder GM Sam Presti and the rest of the Thunder organization continue to show that they are committed to this team and the current roster they have. Extending Ibaka is huge just like extending head coach Scott Brooks was earlier this summer.

The next step now is Harden. It will get done and hopefully before the season.

Brooks and the Thunder have been working on a deal since the season ended and it was really just a matter of time before the two sides reached an agreement.

“Continuing with Scott as our head coach is extremely significant for the future of our organization,” Thunder GM Sam Presti said in a press release. “As we have continually communicated, he has been integral to our success and we have a deep appreciation for his tireless dedication to our players’ development. His experiences and core values are invaluable to our players as they continue to grow and improve and we are thrilled to continue our partnership.”

Presti has been adamant all along that Brooks was his guy and would be a part of the Thunder organization moving forward.

“I would like to thank Clay Bennett and Sam Presti for the opportunity to continue with the Thunder,” Brooks said. “Oklahoma City is a special place and I’m eager to build upon the foundation and culture of this franchise for years to come.”

Signing Brooks was the first step this offseason. Next up is dealing with James Harden, Serge Ibaka and Eric Maynor who are all eligible for contract extensions themselves this summer.

All three have talked about sacrifice in regards to their futures with the Thunder and they all will likely have to sacrifice a little cash to remain with the organization.

The Thunder have also met with free agent Hasheem Thabeet and they may take a flyer on the former No. 2 overall draft pick as well to fill out their roster.

Head coach Scott Brooks and the Thunder were close but just didn’t have quite enough to get over the hump and beat the Heat.

Now that the season is over, some of the focus will shift to Brooks and his current contract situation. Right now, his contract will be up at the end of June. Brooks and the Thunder have been working on a deal but they have yet to come to an agreement yet.

The Thunder’s deep run into the playoffs has delayed our knowing of the outcome of this situation. We know that Brooks earlier had said no to a contract extension.

ESPN’s Marc Stein is reporting that Brooks would like four years guaranteed while the Thunder would prefer just two or three.

Brooks has been as much a part of this team’s growth as anyone. The players love him and he has been instrumental in the team’s progress over the years.

The Thunder organization certainly would prefer not to part ways with Brooks but the NBA is a business and as shocking as it may seem now, it could be a possibility.

Adding to the situation is the fact that Brooks was outcoached in the NBA Finals. There has been criticism of Brooks and his coaching in the past, mostly concerning the stagnant offensive sets OKC runs but that kind of went away this year.

Brooks’ woes resurfaced some in the NBA Finals. Many will give him a pass which is fair too but it is hard not to think that what seemed like an obvious lineup change could have put the Thunder in position to win the title this year.

After coming so close this season, there aren’t a whole lot of people that are thinking about changing this Thunder core, including their head coach.

There have been a few names rumored as potential targets for the Thunder if they are unable to reach an agreement with Brooks. Phil Jackson and Jeff Van Gundy are among the names but they are nothing more than rumors at this point.

In the upcoming week or so, we will continue to learn more about what is going with Brooks’ contract. Odds are, he will be with the Thunder next year but it wouldn’t be totally surprising if he’s not.