LONDON:  Chelsea captain John Terry signed a new five-year contract on Monday that ties him to the Premier League club until 2014.

Terry, 28, had been promised an improved deal when he rejected Manchester City's attempt to sign him during the close-season.

City were reported to have offered Terry around 200,000 pounds a week to move to Eastlands, but the England defender turned them down and is now likely to finish his career at Stamford Bridge after putting pen to paper on a contract worth a reported 150,000 pounds a week.

"Chelsea is delighted to confirm that John Terry has signed a new five-year contract that keeps him at the club until the end of the 2013-14 season," a statement on the club's website announced.

"This reaffirms both John's and Chelsea's long stated desire for John to be at Stamford Bridge for the rest of his playing career."

Terry, who has been at Chelsea since the age of 14, had two years left on his previous contract. But Blues owner Roman Abramovich personally intervened when City came calling and gave the green light to improved terms that will make Terry the highest paid player at the club.

He has made 276 appearances in 12 seasons at Stamford Bridge and has won 54 England caps since 2003.

Terry is the most successful captain in Chelsea's history, having led his club to two Premier League titles. He has also won four FA Cups, three League Cups and a Cup Winners Cup in the last 11 years.

The Blues are currently top of the Premier League after winning all four of their matches under new manager Carlo Ancelotti.