TAMPA, Fla. – The New York Yankees have finalized the $51 million, three-year contract with captain Derek Jeter.

The Yankees scheduled a news conference for Tuesday at their spring training complex to announce the deal.

The shortstop and the club reached a preliminary agreement Saturday on the deal, which also includes an $8 million player option for 2014.

Jeter was coming off a $189 million, 10-year contract. He was initially offered a $45 million, three-year deal.

Jeter had a .270 batting average with 10 homers this past season, down from a .334 average and 18 homers the previous season. While his RBIs increased by one to 67, his on-base percentage fell from .406 to .340 and his slugging average dropped from .465 to .370.

He gets salaries of $15 million next year, $16 million in 2012 and $17 million in 2013, with $2 million annually deferred and payable on each March 15 over three years starting in 2015.

The guaranteed portion of the contract includes a $3 million buyout if the option is declined. If it is exercised, Jeter would earn $56 million over four seasons.

The player option can escalate up to $17 million. The amount depends on a points system. He earns points based on if he finishes anywhere among top six in AL MVP voting and if he wins World Series MVP, league championship series MVP, Gold Glove or Silver Slugger awards. If he earns the maximum, he would get $65 million over the four years.