As reported by Geoff Lepper of the Contra Costa TImes:

Nellieball isn't slowing down just yet.

Don Nelson, the coach who helped vault the Warriors back into playoff prominence, said Thursday that he has reached an agreement in principle with the team on a reworked deal that will bring him back for at least one more season.

Nelson, who originally signed a three-year deal in August 2006, relented and accepted the team's initial offer made several weeks ago. His base salary for each of the remaining two years will jump to $5.1 million from $3.1 million, but the final season is now a team option rather than guaranteed cash.

"I'm excited to come back and coach the team," Nelson said. "The Bay Area's perfect for us (Nelson and his wife, Joy), I love working with Mully (executive vice president Chris Mullin), I love the staff. There's so many positives here."

The deal, which could be signed today, ensures that the second-winningest coach in NBA history - and the only coach to lead the Warriors above the .500 mark in the past two decades - will be on hand to guide a roster that has been tailored to his up-tempo, small-ball preferences.

Team president Robert Rowell confirmed that a deal is close.

"We are definitely rounding third base," he said. "We obviously have some details to work out, but we feel strongly that this is moving in the direction we all want this to move."

Nelson's lawyer, John O'Connor, countered the Warriors' offer last week with a deal that included a partial guarantee in

"It went on long enough," Nelson said of the talks. "Negotiations could have gone on until training camp started, but I didn't want that."

In taking the deal, Nelson appears to be losing $1.1 million in guaranteed money, but he said there is a provision in place that will grant him a five-year consulting deal worth $1 million total if the team chooses not to exercise its option for 2008-09. That offer could be on the table even if Nelson, 67, coaches beyond next season.

"It's a gesture on our part to keep Don a part of the franchise, because we appreciate and respect what he's done for us and what he means to the Warriors," Rowell said.

There are also $1.5 million worth of bonuses available to Nelson each season, but those begin to kick in only if the team reaches the Western Conference finals.

Nelson said he alerted team leaders Baron Davis and Stephen Jackson to his return. The news was celebrated by recently re-signed forward Matt Barnes, who produced career-best numbers under Nelson last season.

"He was the driving force behind our season and when I heard that he might not come back, I was disappointed," Barnes said. "Now all the pieces have fallen back into place and it's time to get back to work."

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With training camp less than 3 weeks away Mickael Pietrus still remains a restricted free agent.  Sources tell Warriorsworld.net that the Denver Nuggets offered Reggie Evans and Jr Smith to Golden State for Mickael Pietrus and Sarunas  Jasikevicius.  The Warriors turned down the deal because they didn't believe either Evans or Smith could help on defense and Smith's attitude was a turnoff to Nelson and the Warriors.

 Speaking of Jasikevicius, the Boston Celtics are actively speaking to the Warriors in hopes of landing the seldom used Pg.  Boston has offered Glen "Big Baby" Davis and/or Leon Powe but the Warriors have been reluctant thus far. Stay Tuned