McCoist settles contract issue with Rangers
McCoist has been on gardening leave since resigning in December but has been entitled to his £15,000 a week salary under the terms of a 12 month rolling contract.
“Ally remains one of the most significant figures in this club’s history,” said chairman Dave King. “His contribution on and off the pitch should not be forgotten.
“Agreement could have been reached earlier but it has been difficult for us to get an opportunity to sit together and talk everything through. We have done that now and we are grateful for Ally’s continued consideration for the club by accepting early termination- which he was under no obligation to do.
McCoist led Rangers for three three and a half years and stood by the club during the turbulent takeover by Craig Whyte.
He initially worked without pay in order to begin the job of rebuilding the club when it was demoted to the bottom tier of Scottish football.
He subsequently accepted a pay cut to help the club deal with ongoing financial difficulties, but his latest demands have divided fans, some of whom believe he should walk away and allow wounds to heal.
King, however, has conceded that McCoist has a contract and that it must be honoured.