The Kings cannot "axe" Kendall. a) He would then become a free agent to sign whereever he likes, or who offers the best deal (Sixers management take note...you let Newley get away)..and secondly, if they axe him, they have to pay out his contract within salary cap confines, therefore not actually saving themselves any money.
Keeping him on injuryu waivers allows them to pay his wages through insurance, and keep him on the roster. The only downside with waivers comes to the caps value, in that they could only replace him with someone of equal or lesser points, in Kendall's case, he would be a 1 being a rookie.
The Kings best scenario right now would be to release Green (I am sure there is some sort of performance based issue in his contract they can release him without having to pay him out), and bring in an import guard as Green's replacement. Considering Thalo didn;t do much for them, I wouldn't even bother replacing him..just start using Graeme Dann in a forward role off the bench.
But, I'm not an NBL coach, nor do I purport to be....I am sure Goorjian and his men are working on something right now.