Matt Williams has rejected an offer to join Saracens and will remain as Leinster coach after agreeing an improved contract with the IRFU today.
The Australian, a former New South Wales Waratahs coach, had been offered a lucrative deal to replace the departed Francois Pienaar at the Zurich Premiership side but has committed his long-term future to Leinster after many weeks of negotiations.
"In spite of offers to coach elsewhere, I am delighted to pledge my future to the IRFU and Leinster branch for a further three years," Williams announced in an IRFU statement released today.
The terms of the contract were not released but it is unlikely to top the financial package offered by the English club.
Williams decision, one which he has described as the most difficult of his coaching career, is sure to delight the Leinster playing staff, many of whom have been unusually vocal in their support of the coach.
Many of them have implored Williams to stay, both publicly and in private. Last week Brian O'Driscoll spoke to The Irish Timesof how Williams had "brought Leinster out of the doldrums" and described him as "one of, if not the most, inspirational coaches I've ever had".
Since Williams took charge two-and-a-half years ago, Leinster have been transformed from an underachieving side on the domestic front with a European ranking of 20th to a real force in European rugby.
Williams will also continue working with the successful Ireland A side, who under his guidance have won the Triple Crown and will be aiming for the Six Nations Grand Slam when they meet France in Paris next weekend.
Williams is due to hold a press conference in Dublin later this morning, accompanied by Irish Rugby Football Union chief executive Philip Browne.
