West Brom manager Gary Megson has signed a new three-year contract that will keep him at the Hawthorns until 2005.

Megson was offered the new deal, which will replace his existing arrangement, after guiding the club into the Premiership last season.

Albion executive chairman Jeremy Peace said: "We had always hoped that Gary would commit to remaining with the club as we embark on our first Premiership campaign.

"Gary has become respected throughout English football for taking us to the Premiership by automatic promotion.

"A great challenge lies ahead in establishing our position in the top flight and we are delighted to have secured Gary's services in order to enable us to achieve this."

Megson has revitalised the club in little more than two years at the helm.

When he replaced Brian Little in March 2000 Albion were heading for relegation.

He saved them from the drop and in his first full season in charge guided Albion into the play-offs where they were beaten at the semi-final stage by Bolton.

They went one better last season, winning automatic promotion behind champions Manchester City to end their 16-year exile from the top-flight.