Amid a tense and incident-filled season that saw the team briefly reach the final playoff spot in the Western Conference before unravelling with extended losing streaks in late January and early February 2016, the organization reportedly made a decision to fire their head coach George Karl during the upcoming All-Star break, a move pushed for by Divac. However, in a quick about-face, Karl got retained after meeting with Divac and reportedly pledging to make changes to address concerns within the organization about his defensive schemes and practice policies. It was later reported that the move to fire Karl on this occasion got scuttled by the Kings minority owners over financial concerns. A month and a half later, in late March 2016, Divac signed a multi-year contract extension with the organization. The team finished the season 33–49, eight games out of the playoffs, good for 10th spot in the Western Conference. Their final season in Sleep Train Arena, the team's home since 1988, it was also their first 30 plus win campaign after seven consecutive seasons of fewer than 30 wins.