The new contract will keep Owen at Old Trafford at least until the end of next season. Owen’s previous deal expired at the end of this season.
United boss Sir Alex Ferguson told the club’s official website: “Michael has proved to be a top footballer.
“It’s unfortunate Michael didn’t get more opportunities but the form of Chicharito put everyone in the shade and his partnership with Rooney proved invaluable.
“I am delighted Michael is staying for a further year and we will look to give him more opportunities in the new season.”
Owen said: “I’m delighted to have agreed a one-year extension to my contract.
“To play alongside so many great players, under an exceptional manager, and in front of so many incredibly passionate supporters, is a real inspiration. I can’t wait for next season to start.”
