Knoxville, TN -- (Sports Network) - The University of Tennessee has announced new contracts for football coach Phillip Fulmer and men's basketball coach Bruce Pearl.

Fulmer's new deal is worth $2.4 million for the 2008 season and escalates to $3.3 million in 2014 for an average of $2.99 million over the length of the agreement. It also includes a $1 million longevity bonus in December 2012 to reward him for his 20 years as the school's head coach.

"I am very proud to have Phillip as our coach for many years to come," men's athletic director Mike Hamilton said. "We're fortunate to have such a talented and proven coach leading our program. He and his staff have done a terrific job building on our rich tradition and positioning Tennessee football for the future."

Fulmer, a 1972 graduate of Tennessee, has a career record of 147-45 since taking over the program from Johnny Majors. The Vols were 10-4 last season, winning the SEC East Division, and capped the campaign with a victory over Wisconsin in the Outback Bowl.

Pearl's new deal will average $2.3 million per year through the 2013-14 season.

The Vols have posted a record of 77-24 with three NCAA Tournament appearances in Pearl's three seasons. Last year's team finished 31-5, earned a No. 1 ranking for the first time in school history and reached the Sweet 16 of the NCAA tourney for the second straight year.

"Bruce has had a tremendous impact on our basketball program. His energy and enthusiasm have brought new life to Tennessee basketball," said Hamilton.

Both coaches have incentive packages built into the contracts, which include a $250,000 bonus for a national championship.