The New York Yankees and veteran left-hander Andy Pettitte agreed to a contract for next season on Wednesday.
Pettitte will reportedly earn $12 million in 2013.
He returned to the Yankees this past season after a brief retirement and was 5-4 with a 2.87 earned run average in 12 starts. A fractured left ankle forced him to miss almost three months.
To make room for Pettitte on the 40-man roster, the club designated catcher Eli Whiteside for assignment.