Guus Hiddink signed a new two-year contract on Monday to coach Russia until the 2010 World Cup in South Africa.

"Hiddink signed his contract this evening," a spokesman for the Russian Football Union (RFU) said. "It is now official." The initial contract was due to expire this July.

Details of the new deal were not disclosed. Hiddink, 61, who guided Russia to the Euro 2008 finals from a tough group that included Croatia and England, was reported to be earning two million euros ($2.9 million) a year, paid for by Chelsea's billionaire owner Roman Abramovich through his National Academy Fund.

The Dutchman agreed in principal to extend his contract last October on the eve of a key Euro 2008 qualifier against England in Moscow, but it took another five months for the two sides to work out the finer details. Most of the negotiations were focused on paying taxes.

Last year, a Dutch court handed Hiddink a six-month suspended sentence and fined him 45,000 euros ($59,270) after finding him guilty of tax fraud. Hiddink said he wanted to pay his taxes in Russia but the Dutch authorities were also seeking their share of the revenue.

"All the problems, including those tax issues, have been solved," said the RFU spokesman. The deal ended media speculation that the highly successful Dutchman, who led the Netherlands and South Korea to the World Cup semi-finals in 1998 and 2002 respectively, would leave Russia in July to coach elsewhere.