John Terry is expected to announce he will be staying at Chelsea

Source: Dominic Fifield in Pasadena guardian.co.uk, Wednesday 22 July 2009 23.00 BST

John Terry has reached an agreement in principle to remain at Chelsea despite persistent interest from Manchester City, with the England captain expected to reaffirm his commitment to the club publicly before the weekend.

Terry maintained his silence on City's interest in the wake of today's comfortable 2–0 victory over Jose Mourinho's Internazionale at the Rose Bowl, in which he was one of two players to feature for the full 90 minutes. But he departed the stadium saying he would speak "very soon" on the matter. Both Peter Kenyon, Chelsea's chief executive, and Roman Abramovich, the club's owner, are in the United States as the club's four-match tour progresses, with Terry having spoken to both over the last few days.

Chelsea have indicated a willingness to renegotiate the player's contract, aware that City – whose £30m bid was rejected out of hand this month – were prepared virtually to double his £135,000-a-week salary over a five-year deal if he swapped Stamford Bridge for Eastlands.

However, Chelsea will wait until Terry has delivered his public statement of commitment before moving to secure the defender on improved terms. His representative is not due to travel to the US, suggesting nothing will be signed before the team return after Sunday's game against Club America in Arlington, Texas.

The club's hierarchy have consistently remained confident and "relaxed" on the issue over the last few weeks, despite City's conviction that the England captain could still be prised away to join the swathe of players recruited by Mark Hughes this summer. Carlo Ancelotti insisted in the build-up to the game against Inter that he expected his captain's future to be resolved within "one week", while Terry's team-mates are confident he will stay. "He's our captain and we need him," said Didier Drogba. "We know he's going to stay with us and win more trophies."


While Chelsea are unlikely to report money-flushed City for any illegal approach for Terry, the Manchester club's interest – and the fact that the defender was clearly tempted on some level to consider a move there – should make next season's confrontations between the sides intriguing. Not that all in Chelsea's ranks are hoping they labour next term.

Ashley Cole expressed admiration for Manchester City's ambitious moves in the transfer market this summer and even joked that he hoped they ousted his former club, Arsenal, from the Champions League places.

"This year might be tough for them but, next year, you never know given the guys they are buying," said the England full-back. "The players they are bringing in are good quality. You never know – they may just gel, click, straight away and it's magic. But you won't really know until you see them play. I hope they do. I have friends there and I hope they do really well – and they finish above Arsenal."

That was delivered with tongue firmly in cheek, though Chelsea's own sights are set higher than merely a place in the top four. "Some players here might want to win the Champions League but, for me, winning the Premier League again is my main aim for the season," added Cole. "That's the best trophy to have. It's the best league to play in and that feeling you have when you win it makes you realise it's a great achievement for any club.

"It makes the players proud. It's a tough old season in the Premier League and it's only getting harder so, if you win the title, you are true champions. Sometimes, the best team doesn't always win the Champions League. It depends more on how you play on a certain day. In the league you have to play consistently well."

That remains the challenge for Ancelotti, who saw Drogba and Frank Lampard, from the penalty spot, dismiss Mourinho's Inter in Chelsea's opening game in the World Cup Challenge in front of 81,224 supporters at the Rose Bowl. The Italian is set upon giving his team the identity Abramovich thought they lacked at times last season but, despite winning Serie A only once in his eight-year reign at Milan, believes he can secure domestic silverware en route.

"I think I can win the Premier League for Chelsea," said the Chelsea manager. "I am here for this [reason]. I am here to win and to play well. But it's not only the victory that is important. I want to put entertainment into the team. Our style of play is very important. It's too early to put my stamp on this team, but I have time to do this and I think it's possible."