As noted before, there had been some heat on Leva Bates because she had gotten over in a quirky way and she was still free to work on the independents and possibly make more money than many of the NXT regulars while working her own schedule and she could still sell her own merchandise.
The Wrestling Observer newsletter reports that she is not expected to be used going forward but I know that she did film some stuff for WWE on Friday morning 10/9. I believe she will be featured in the upcoming Dudley Boyz DVD. Also, we were told by people in WWE that there was no heat on her from management and she could be brought back as needed.
Dave Meltzer noted that the end for her was when Alexa Bliss beat her so I guess we’ll see if things change or if she really is done with NXT. WWE is still selling Blue Pants merchandise on their website.