Town chairman David Sheepshanks has revealed that the new contract being offered to manager Joe Royle will keep him at Portman Road for a further two years. The extension to Royle's contract, which is up in the summer, was announced at last night's AGM.

Sheepshanks told the club site: "We have been talking to Joe about extending his contract for another two years and we are very close now to finalising the deal.

"Joe has done an excellent job in his time here and is one of the best managers in the country.

"We hope to tie things up over the next few days and look forward to Joe hopefully leading us back to - and in - the Premiership."

Royle himself says he is happy to remain with the Blues for a longer period: "It's just a case of a few little formalities to sort out. It was never in doubt that I wanted to stay at this fantastic club."

Assistant boss Willie Donachie will also be offered a new deal for the same period of time.

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