"The Rockets have told each of their four lottery picks from the 2009 NBA Draft – Hasheem Thabeet, Jonny Flynn, Terrence Williams and Jordan Hill – they won't be picking up the fourth-year option on their rookie contracts, a person with knowledge of the talks said.
The moves were not unexpected. Only Hill is playing. The Rockets, however, made the decision not as much because of the play of the four lottery picks, but to create room for a max contract should there be a free agent (Dwight Howard, Deron Williams lead the class), according to the person familiar with their thinking."