Lennon's new deal will see him double his money at the club Celtic manager Neil Lennon has signed a new 12-month rolling contract.
Lennon has been on a six-month rolling deal since becoming permanent manager last summer, having been caretaker boss for the end of season 2009/10.
BBC Scotland understands that Lennon will double his wages and earn just under £1m a year.
"I have had ten great years connected to Celtic and I hope to enjoy many more," said Lennon. "I am absolutely delighted to agree this new contract."
In his first full season in charge at Celtic, Lennon won the Scottish Cup but lost out on the Scottish Premier League title to rivals Rangers by a point.
Speaking to the club website, Lennon explained: "I will be doing everything I possibly can to ensure we bring our fans more success.
"I have been speaking to [chief executive] Peter [Lawwell] over the past few weeks and we are both delighted to move forward together. We have sat down, looked at last season and now we look ahead.
Whoever comes into the squad I know they will be joining some very talented players here who share my appetite for success.
Neil Lennon Celtic manager
"I know that Peter and the board's vision for the club is the same as mine. We are absolutely together on this, we want to bring success to the club and reward the commitment which our supporters continue to make.
"We want to provide our fans with entertaining, attacking and professional football but ultimately we aim to deliver silverware. Work begins now on striving to bring domestic trophies to Celtic Park and on having some success in Europe.
"We have already begun looking at the squad for next season. Whoever comes into the squad I know they will be joining some very talented players here who share my appetite for success.
"The players have connected with our fans, they know what Celtic means to so many people and I know they will be looking to deliver success for them this coming season.
"Indeed, I would like to record my thanks to our supporters. The backing they gave to me and the team last season was absolutely tremendous. Clearly there was a lot involved in last season and their contribution was immense.
"I said when I was appointed manager that we wanted to reignite Celtic Park and make it the place it should be - one of Europe's finest, most atmospheric football arenas.
"There is no question this happened. There were numerous occasions last year when the fans' unique backing played such a crucial role and I know that we can build on this for next season.
"I know that myself, the board, my management team and all my players will be doing all we can to ensure that our fans have a team they can be proud of."
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