The agreement provides for him to make an additional $5 million in bonuses and match his 2007 salary. The deal is subject to him passing a physical, contains $3 million in performance bonuses based on innings pitched and $2 million based on weight clauses, a person familiar with the negotiations said Tuesday, speaking to The Associated Press on condition of anonymity because the team had not yet made an announcement.

His agreement was first reported by ESPN.com.

"Talks with the Red Sox are moving," Schilling said in a posting on his Web site early today. "Theo and I have spoken multiple times daily over the past week and given the current situation, I am feeling very confident that we will be able to finalize a one-year contract to allow us a chance to finish our career as members of the Red Sox organization. There are some things to iron out and details that must be finalized for both sides, but barring something unforeseen or outrageously odd happening, I feel very comfortable that I will finish my career here."

Schilling, who turns 41 on Nov. 14, also posted the letter that team president Larry Lucchino and general manager Theo Epstein sent him before opening negotiations with him in November 2003.

"There is no other place in baseball where you can have as great of an impact on a franchise, as great an impact on a region, as great an impact on baseball history, as you can in Boston. It is hard to describe what the Red Sox mean to New England," the letter said. "We are so close to the goal that has eluded us for 86 years."

In 2004, Schilling went 21-6 and helped lead the Red Sox to their first World Series title since 1918. His velocity diminished, Schilling was 9-8 during the regular season this year, then went 3-0 in four starts during the playoffs to improve his postseason record to 11-2.

After the Red Sox declined to give him an extension, Schilling said in February that he would become a free agent after the season. He said then he would return for Boston in 2008 for $13 million, the same salary he earned in 2007.

While he wanted to stay, he also was ready in case he had to change teams.