The deal will keep him at the club until 2010 as he still has a year remaining on his current contract.
The deal will probably be met with an overwhelming sense of indifference as he has never really looked settled in the side and is prone to going missing in games, particularly when he's put out wide.
But, in fairness to him, he did look mustard at the end of last season and was getting on the score sheet more often than not.
Two goals that spring to mind are his volley against Fulham and his chip against Middlesbrough that won us the game in the final minute.
His goal against Boro was also the first time that he's outpaced any other players ever as he raced clear of their defence!
But what he lacks in pace he makes up for in skill and he always looks like one of those players who just needs to skin a player once and he'll be able to do it all game.
This was certainly the case during his first two games for the Blues when he ran Stockport and
Unfortunately, what usually happens is that he ends up getting floored by some big grock of a centre half and he retreats into his shell.
But he appears to be determined to force his way into the team and has been making all the right noises so we'll have to wait and see.
Upon signing the deal he said: “I have stated from the beginning I wanted to stay but when you are negotiating sometimes things don't go as smoothly as you like but I am delighted to be signing for another three years.
He added: "There is healthy competition but I don't think it is beyond me to get into the team and be playing every week, although I have quality players ahead of me the club has paid a lot of money for. But it is not unattainable and that is my target.
He certainly gives us another option up front to compliment the pace of Johnson and Vaughan and the power of Beattie and Anichebe.
Roll on Saturday!