Theo Walcott showed exactly what he is capable of in Arsenal's 7-5 win over Reading, scoring a splendid hat-trick, and yet again affirming his lethal skills in front of goal.

Walcott scored a treble to help the Gunners come back from 4-0 down, and nothing encapsulated the England international's new found confidence in front of goal than the brilliantly taken strike that made it 4-1 just before halftime - chipping the goalkeeper after taking a couple of touches to compose himself.

Arsenal manager Arsene Wenger, after the match, reiterated his stance of both keeping Theo Walcott at the Emirates and also converting the 23-year-old into a central striker.

"I always said that he will be a striker, so we are on the same wavelength there," Wenger said.  

"First of all he is a good finisher now -- the way he scored the first goal. Secondly, I believe he knows where to be in the box on the rebounds.

"I like that -- that's a quality of a striker that you cannot give to anybody. You feel it or you don't. He has the qualities to play there and he was superb (on Tuesday night)."

The Walcott contract situations is in a precarious position with the forward yet to agree on new terms with under a year remaining on his current contract.

While varied reports claim, the new contract will be based on an assured regular starting berth to more money, the bottom line is Walcott is yet to sign a new contract, with no real signs of progress.

"That's what I hope (that he is a striker at Arsenal)," Wenger added. "I always said that I want to keep him. Apart from contract talks, you have to give him credit for the way he is committed for the team and the way he behaves."

If the problem is, like Walcott had hinted earlier, about regularly playing him in a central striking role, then it is surely a minor issue which can be sorted out with a heart-to-heart talk with the manager.

However, if it is more money related than performance related, then the prospects of a new contract will diminish considerably, with Arsenal reportedly unwilling to budge from the £75,000 a week ($121,000) five-year contract that still remains on the table.

Walcott has already rejected that proposal, so it remains to be seen whether the two parties can find a common ground, or part ways like Arsenal have with several big players off late.

Logic says Walcott will want to play with the new Arsenal team that Wenger has created this season, with the English core very much coming into the fore. The likes of Jack Wilshere, Alex Oxlade-Chamberlain, Carl Jenkinson, Kieran Gibbs and Emmanuel Frimpong are making their mark with the Gunners, and Walcott is understood to be keen on remaining and continuing his progress.

Now if only both representatives would give a little and take a little to come to an amicable agreement, because the last thing that Arsenal fans want is another big-name departure, even if opinion might be divided on the 23-year-old's effectiveness and worth.