Argentine international midfielder Santiago Solari signed a new four-year deal with Real Madrid, the Spanish Primera Liga side announced on Monday.
The 28-year-old, whose original contract was due to expire at the end of the season, joined Real from city rivals Atletico in 2000.
Although he has never held down a regular place in the starting line-up, the versatile midfielder has played a valuable role as a substitute and has frequently come on to win games with his often spectacular goals.
He played the full game in Real's 2-1 victory over Bayer Leverkusen in the final of the Champions League in 2002 and has also won two Spanish league titles with the club.
Solari, who played for Newell's Old Boys and River Plate before joining Atletico in 1998, won the most recent of his 11 caps in the 3-2 win over Venezuela in a World Cup qualifier in Buenos Aires in November but saw little action otherwise last year, missing out on the Copa America.