Rafael Benítez has signed a contract extension at Liverpool which will keep him at the club until 2014.
The Spaniard's current deal expired at the end of next season and there were serious doubts about whether or not he would remain at Anfield after he rejected the club's original offer because it did not guarantee him full control of transfer policy.
However it has been announced by Liverpool that Benítez, who joined from Valencia in June 2004, will remain for a further four years.
"My heart is with Liverpool Football Club, so I'm delighted to sign this new deal," said Benítez. "I love the club, the fans and the city and with a club like this and supporters like this, I could never say no to staying. I always made clear I wanted to be here for a long time and when I complete my new contract it will mean I have spent over a decade in Liverpool."
"Throughout this process, I would like to thank the owners for their hard work in finalising the deal. All of us at the club want the same thing, which is to be successful by winning major trophies."
It is unknown if Benítez has been granted total control over transfer policy but the announcement earlier this month that Rick Parry, the club's chief executive, is to leave in the summer suggests that is the case. The pair have maintained a difficult relationship for some time with Benítez regarding Parry as a major hindrance to Liverpool's pursuit of players.
Parry and Liverpool's co-owner Tom Hicks are not exactly friends either and the American has today given his positive reaction to the news Benítez, an ally in the on-going power-struggle at the club, is staying for a further four years.
"It is wonderful news that Rafa has made a long-term commitment to the football club," said Hicks. "Since he became manager in 2004, he has been responsible for the great progress we have made. I know he will continue to build on his achievements as he has a tremendous hunger and desire to bring more success to the club - success our fans and everyone connected with the club deserves."
The Merseysider's other owner, George Gillet, added: "With Rafa continuing to manage the team, we can look forward to more great football and success on the pitch. He has special abilities and qualities which are admired here at the club and around the world. Coming after our excellent wins over Real Madrid and Manchester United, this gives us great momentum going into the final stages of the season."
The news will also be warmly welcomed by Liverpool's supporters who hold Benítez in high regard, particularly so after recent results which has seen the club beat Real Madrid 4-0 in the Champions League and then on Saturday, defeat Manchester United 4-1 at Old Trafford, a victory that moves them to within four points of the league leaders.
Since joining Liverpool five years ago, Benítez has won the Champions League, in 2005, as well as the FA Cup 12 months later.
