Fred Hoiberg has signed a five-year contract worth nearly $25 million to coach the Chicago Bulls, league sources told Yahoo Sports.

Fred Hoiberg leaves Iowa State to take over the Bulls. (AP) More

Chicago has a news conference set for Tuesday afternoon to introduce Hoiberg as coach.

Hoiberg's contract is comparable to deals that Golden State's Steve Kerr and New York Knicks' Derek Fisher signed a year ago.

Hoiberg had been making $2.6 million a year at Iowa State.

Bulls management considered the partnership that Celtics general manager Danny Ainge and Brad Stevens had developed as a model for the Hoiberg hiring, league sources said. Stevens made the leap to the NBA from Butler University three years ago.

The Oklahoma City Thunder hired Florida coach Billy Donovan, agreeing to what sources say is a five-year, $30 million contract. Donovan won two national titles at Florida.

Expectations will be immense for Hoiberg, who'll have to replace a highly successful coach in Tom Thibodeau. The Bulls had long ago gauged Hoiberg's interest in replacing Thibodeau, league sources told Yahoo Sports. Bulls management knew that Hoiberg wanted to take the job before they fired Thibodeau on Thursday, and financial details were ironed out in recent days, sources said.

The New York Daily News first reported that the deal would be in the five-year, $25 million range.

More NBA coverage:

