Manchester City manager Roberto Mancini has agreed terms on a new five-year deal with the Barclays Premier League champions.
The Italian, who had been linked with the vacant job as Russia boss, began discussions on a new deal at the end of last season and has committed to a long-term future at the Etihad Stadium.
A club statement read: "Manchester City Football Club today are pleased to announce that a new contract has been agreed with manager Roberto Mancini."
It continued: "The deal, which runs until the summer of 2017, follows the club's most successful season in more than four decades, which concluded in the most dramatic of circumstances in the team's thrilling 3-2 win over Queens Park Rangers in May this year."
Former Inter Milan manager Mancini took over as City boss from Mark Hughes in December 2009. In his first full season at the club he ended a 35-year trophy drought by winning the FA Cup and also secured Champions League football with a third-place finish in the Premier League.
Last season he wrote his name into the club's history books by edging Manchester United in the closing seconds of the season to win a first league title in 44 years.
"I am delighted to be able to give all of my efforts to Manchester City for a further five years," he told www.mcfc.co.uk. "The opportunity which exists to build on our recent success is enormous. Manchester City is a fantastic football club, from the owner, chairman, board and the executive team, through to the players, staff and fans.
"I am very much looking forward to the challenges and excitement ahead."
Interim CEO John MacBeath added: "Roberto's managerial credentials have been well proven in Europe for many years and in leading a team which has won the FA Cup and an unforgettable Barclays Premier League title in successive seasons, his ability to manage in the English domestic game is also undisputed.
"This new agreement allows Roberto to focus on the challenge of guiding a team which is capable not only of defending the Premier League title, but one which can compete for European honours."