Rome – Coach Jose Mourinho has renewed his contract with Inter Milan to 2012, the Italian football champions said on their website late Monday.

The agreement quelled rumours that the Portuguese coach was considering a transfer to Spain powerhouse Real Madrid after a first successful season in Milan.

Inter said they extended the original contract expiring in 2011 “replying to the coach’s will to continue with the project undertaken together a year ago, a will the club welcomed as a signal of attachment and winning spirit.”

La Gazzetta dello Sport reported on Tuesday that the 46-year-old coach will continue earning 9.5 million euros (13.3 million dollars) per season, with a severance clause worth 7 million euros.

Mourinho boasts two titles won in Portugal with Porto and as many with London side Chelsea. Earlier this month, he secured the Serie A title with Inter three games ahead of the end of the season. (dpa)