AC Milan coach Massimiliano Allegri signed a new deal on Friday which will keep him at the helm of the Italian champions until 2014, the club announced.
According to Italian press reports, Allegri, who won the Serie A title in his first year in charge last season, wanted an annual salary of three million euros while the club would only go as high as 2.5 million.
"I'm very happy to have the chance to work with Milan for another two years," Allegri told the club's official website.
"I believe that everything is in place to continue what we started a year and a half ago."
The deal was signed two days before the Milan derby at the San Siro on Sunday.