Real Madrid have triggered Karim Benzema option in his contract.
Benzema has extended his contract with Real Madrid by 12 months, with management enacting the option in his deal.
The five-time Champions League winner, who will turn 36 in December, has agreed to the deal after a chat with president Florentino Perez.
AS says everything is now settled between the two parties.
It's also claimed Benzema accepts next season will be his last with Real Madrid.