JOE KINNEAR seems poised to remain Newcastle United’s manager beyond the end of this season after revealing he has been offered a “very lucrative” extended deal at St James’ Park. After Wednesday night’s loss in the FA Cup replay at home to Hull City, and following five games without a win, it is an unusual time for the club to make such a gesture, but Mike Ashley is apparently keen to create an aura of stability on Tyneside.

Cynics might say that Newcastle’s owner, who recently took the club off the market after failing to sell it, could be also anxious to appease Kinnear about a potential shortage of funds during this transfer window.

No matter, Kinnear, whose current deal runs until June, appears delighted, although it seems he will endeavour to extract promises from the board before committing himself to Tyneside long term.

“I have been offered a very lucrative contract,” said the 62-year-old yesterday. “I know what my own future is. I’m just mulling things over in my head at the moment. Mike Ashley, Derek Llambias (managing director) and I, we’ve sat down and talked about taking the club forward and re-investing in it during the summer.

“But I said to them that, first and foremost, we have to work hard and establish ourselves as a Premier League side and get away from the relegation fight.

“I really don’t need any more distractions than that. What I suggested to the board was that we all sit down again in the summer and look at each other and say what direction we want to take the club in. We can talk about re-financing it, letting players go and bringing in my own players. I’ll also see what my wife and family have to say about the situation of moving up here permanently.”

Although club sources feel Kinnear wants to stay, it is understood he is anxious about the thinness of Newcastle’s squad and will demand cast-iron guarantees regarding financial backing and his autonomy during the summer.

It is also not impossible that, should another club express interest in hiring him, he could be tempted elsewhere, especially if it were nearer his London home.

This latest twist in the Newcastle saga certainly represents quite a departure in the life of the former Wimbledon manager who had been out of football for four years between leaving Nottingham Forest and succeeding Kevin Keegan in September. Indeed, just over a year ago, Kinnear and his wife were touring South America and seriously considering buying a home in Argentina and starting a new life. Now it appears they may be house-hunting on Tyneside.

Newcastle’s FA Cup conquerors, Hull, have signed the Manchester United striker Manucho on loan until the end of the season. The 25-year-old Angola international will go straight into the squad for today’s game against Arsenal.

Manucho will be joined in the squad by Kevin Kilbane, who Hull signed from Wigan on Thursday on a two-and-a-half-year deal.

• Guardian Service