Percy Allen of the Seattle Times reports that Gary Payton has cancelled his celebrity basketball game. This may be another sign that the relationship between Payton and the Sonics is strained.

"Gary and his management decided to cancel the event, but we are planning upcoming fundraisers," said Stephanie Aardal, director of Payton?s foundation. "We look forward to next year's All-Star Classic."

Whether the game will be played here remains to be seen as Payton starts to take significant steps to distance himself from Seattle. He is considering whether to renew the lease of his KeyArena suite, valued between $80,000 and $150,000, as well as his 14 season tickets.

In the past, Payton has said he wanted to retire in Seattle, but his stance has dramatically changed over the past few months, perhaps believing that Sonics management may not share his view. In May, Payton thought he had a clear understanding of the direction of the Sonics. Since then the two sides seem to be drifting apart.

Before appearing in Johnson's charity game in Los Angeles two weeks ago, Payton said that he was unsure if a long-term commitment with the Sonics would occur. "I'm going to let my agents take care of that stuff," he said. Aaron Goodwin, one of Payton's agents, is adamant about signing an extension before the upcoming season and says he won't to return to Seattle once he becomes a free agent next year.

The cost-conscious Sonics, who are already over the salary cap, are willing to exceed the luxury tax threshold and pay a dollar-for-dollar penalty in order to re-sign free agent Rashard Lewis. But they would rather wait before making a long-term commitment to the 34-year-old Payton.