James Harden traded to Rockets

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Unable to work out an extension with James Harden, the Oklahoma City Thunder traded the Sixth Man of the Year to the Houston Rockets on Saturday night, breaking up the young core of the Western Conference champions.

The Thunder acquired guards Kevin Martin and Jeremy Lamb, two first-round picks and a second-round pick in the surprising deal that was completed Saturday night. Oklahoma City also sent center Cole Aldrich and forwards Daequan Cook and Lazar Hayward to Houston.

Wednesday's deadline to extend Harden or allow him to become a restricted free agent next July had been hanging over the Thunder from the moment they reported to training camp, but sources told ESPN.com's Marc Stein late Saturday the Rockets intend to sign the swingman to the max contract extension he was seeking before Wednesday's midnight deadline.

The Thunder offered Harden $55.5 million over four years -- $4.5 million less than the max deal Harden coveted and will get from the Rockets, sources told ESPN The Magazine's Chris Broussard.

"We wanted to sign James to an extension, but at the end of the day, these situations have to work for all those involved. Our ownership group again showed their commitment to the organization with several significant offers," Thunder general manager Sam Presti said in a statement.

"We were unable to reach a mutual agreement, and therefore executed a trade that capitalized on the opportunity to bring in a player of Kevin's caliber, a young talent like Jeremy and draft picks, which will be important to our organizational goal of a sustainable team."

The small-market Thunder had already signed Kevin Durant, Russell Westbrook and Serge Ibaka to long-term deals, and apparently realized Harden was going to want a bigger salary than they would offer.

Harden averaged 16.8 points and 3.7 assists last season, and joined Durant and Westbrook on the U.S. men's Olympic team. He struggled badly in Oklahoma City's loss to Miami in the NBA Finals, but the Thunder felt good about their chances of getting back there with another year of experience for their young stars, all 24 or younger.

The Thunder got back a good scorer in Martin, who has averaged 18.4 points in his eight NBA seasons, and a promising young player in Lamb, the No. 12 pick in the draft who helped Connecticut win the 2011 NCAA championship. He led Houston's summer league team in scoring with 20 points per game.

The Rockets rebuilt their roster in the offseason and hoped to land Dwight Howard. Houston traded or released just about every veteran except Martin, who was in the final year of his contract and due about $13 million this season.

Martin averaged 17.1 points and 2.8 assists last year, his eighth in the NBA and third in Houston. He missed the last 26 games last season with a shoulder injury, though he also developed a rift with Houston coach Kevin McHale late in the year.

"While I never like having to send out quality players like Kevin Martin and Jeremy Lamb, this trade gives us a chance to make an immediate impact on the future of our franchise moving forward," Rockets owner Leslie Alexander said.

"James Harden was part of Team USA's gold medal team at the London Olympics and is one of the most skilled shooting guards in the NBA."

New Rockets point guard Jeremy Lin also chimed in about the trade on Twitter.

"Really sad to see Kmart and JLamb go," Lin wrote. "...both class acts and great teammates. Welcome Harden, Cook, Aldrich and Hayward to Houston!!"

Houston collected draft picks while it was making a flurry of deals, part of a package to offer Orlando for Howard. The Rockets traded point guard Kyle Lowry to Toronto for a lottery-protected first-round pick, one of Oklahoma City's acquisitions on Saturday night.

The other first-round pick was acquired by Houston when it traded Jordan Hill to the Los Angeles Lakers last March. The second-round pick came to the Rockets in a deal that sent guard Courtney Lee to Boston.

Information from The Associated Press, ESPN.com senior writer Marc Stein and ESPN The Magazine senior writer Chris Broussard was used in this report.

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