Now that the cluhb have secured the future of one of their most successful ever bosses they will likely now begin to negotiate new deals with the clubs backroom staff.
With Premiership clubs believed to be chasing the highly coveted boss John Madejski was naturally delighted to get the deal signed.
"I am delighted that Alan Pardew has signed this new contract to extend his management of Reading Football Club."
Pardew has won three Manager of thre Month awards during his time at the club and is widely regarded as one of the best up and coming managers in the country.
He added: "We work very well together as a team, and I believe that Alan has learned a great deal and developed into one of the best young managers in the country. This is illustrated by the fact that when he took over as manager in October 1999, we were near the bottom of the Second Division, but we have stuck together through some difficult times and now we are pushing for a place in the Premiership."
"Alan has developed a formidable squad and continued to strengthen our youth system. We have achieved a lot, but we are hungry for more success and I am looking forward to continue working closely with Alan as we strive to become a major force in English football."