Jason Jones reports straight from the player's mouth that Terrence Williams has signed a deal to remain with the Sacramento Kings for the remainder of the 2011-12 season. Williams signed a 10-day deal with the club a week ago; he'd been waived by the Houston Rockets after the trade deadline. Because Houston declined to pick up the team option for next season and waived him, Williams will be an unrestricted free agent at season's end.
If the Kings were interested in signing Williams to a multi-year, they could use their cap space this season to frontload a deal, but it's unlikely there will be a huge market for the wing in the summer, so there's probably little reason to play with what should be a small cap figure.
Williams picked up eight points, six rebounds and four assists on Friday in the win over the Jazz, and has been used as a playmaker. His passing ability appears to be as good as we'd heard.
UPDATE: The Kings have sent an official press release confirming that Williams is signed for the rest of the season.