Cashman is staying on as general manager of the Yankees, agreeing Tuesday to a three-year contract that runs through 2011.

"I've got a job to finish here," Cashman said in a statement. "That's the bottom line."

New York missed the playoffs this year for the first time since 1993. Cashman took over as GM in 1997 and his current deal was set to expire at the end of October.

He was expected to re-sign, especially after Yankees co-chairman Hank Steinbrenner told Cashman earlier this season that the team wanted him back. But there had been rumblings that Cashman might be interested in running another club — perhaps one without such a vocal, hands-on ownership group.

"I consider coming off a season where we didn't reach the playoffs for the first time since 1993 as a personal challenge. I've never been one to run from a challenge, and I look forward to having the chance to go after this thing again," Cashman said. "It's an incredible opportunity and honor to hold the title of general manager for the New York Yankees. With it comes a great responsibility to ownership, the people who wear the uniform and our fan base."