There was good and bad news for South Australian cricket fans today in the announcement that Greg Chappell's services as coach will be retained for the 2001-02 season.

Following lengthy discussions with the South Australian Cricket Association (SACA), Chappell has agreed to stay on for the final part of the two year contract that currently sees him at the helm of the state team. But it is also likely that the season will represent his last in the position.

Speaking in Adelaide, SACA Chief Executive Michael Deare confirmed that a number of matters relating to the former Australian captain's occupation of the role have recently been settled. But he added that Chappell's growing business interests make the prospect of any re-negotiation of his contract beyond its expiry date in March 2002 unlikely at this stage.

"That's a reasonable assumption," said Deare.

"But now that he's committed himself to next season I think that he'll be giving it one hundred per cent."

Deare said that both parties had considered their positions over recent weeks after Chappell had flagged a desire to live on the east coast and to commute to South Australia to undertake his coaching responsibilities.

Chappell was prepared to travel with the team to its games in Brisbane, Sydney, Melbourne and Hobart but had wanted to revise the nature of his arrangement so that he was not required to travel to Adelaide or Perth matches from his new base in the eastern states.

"We made it very clear to Greg that we needed to have him (with the team) one hundred per cent of the time and we needed to have his commitment for a full season," said Deare.

"Our response (to Chappell's proposal) was that that was totally unacceptable."

Chappell re-considered his position before advising the SACA yesterday that he would see out the remainder of his contract without any alteration to its terms.

Deare stated that the 52-year old had committed himself fully to the team and that there would be no weakening of the strong rapport that the coach shared with the Redbacks' current group of players.

Through a brief statement released by the SACA, Chappell avowed his loyalty to the state but also defended his off-season pursuit of business activities.

"I have the flexibility within my contract with the SACA to pursue other business interests for several months in the offseason, and that is what I've been doing," he stated.

Chappell assumed a role with the Redbacks for the first time in 1998-99, after the side had finished at the bottom of the domestic first-class competition standings in each of the two previous seasons.

Under his leadership, the team ended in fourth place in his first two summers but it then returned to the foot of the table following a disappointing performance in 2000-01.

© 2001 CricInfo Ltd