A statement on the club's official website read:
"He has earned this by his hard work and merit. Since arriving at Real Madrid in December 2006, Gonzalo Higuain has exemplified hard work and diligence.
"New Blanco coach Jose Mourinho counts on him and one only needs to look at his numbers to understand that a winning team needs the services of such a great goalscorer.
"As a Real Madrid player, Higuain has played in 141 matches and accumulated a total of 64 goals."
Just a week after Jorge Higuain, the player's father and agent, met with Madrid sporting director Jorge Valdano to arrive at a verbal agreement, the final touches were made today and Higuain signed a contract that makes the young Argentine go from being one of the worst paid in the Blanco squad to one of the best paid at €3.5 million per season.
Higuain has shown consistent improvement since arriving at the Bernabeu. He has led los Blancos in scoring the past two seasons and, at just 22 years old, earned his first World Cup call-up with Argentina.
It is widely anticipated that he will be a starter in Diego Maradona's Albiceleste team in South Africa, where Higuain has relegated players like Diego Milito and Maradona's son-in-law, Sergio Aguero, to bench roles.
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