McCarthy, in the second season of a three-year deal that he signed in January of 2006, may sign the extension this week, according to FoxSports.com. McCarthy told reporters tonight that progress is being made on the deal.
"I feel very good about the progress that we've made," said McCarthy. "I'm excited about being a part of the near future of this great organization. We're moving forward."
McCarthy's original deal pays him slightly less than $2 million. At the time of his hiring in early January of 2006, he was the youngest coach in the NFL at 42 years old. Oakland's Lane Kiffin, 32, has taken over that honor, but is far from turning the Raiders around like McCarthy has the Packers.
In just his second season in Green Bay, McCarthy has reinvigorated Brett Favre's game and turned the Packers into a Super Bowl contender.
"We had some bumps last year," McCarthy said prior to Green Bay's NFC divisional playoff against Seattle. "We were able to navigate much better (this year), particularly earlier in the season. I felt the comparison from last year to this year was the way we started the season. Last year there were some tight games where we did not make the plays at the end of the game to win. This year we did.
"As the year went on our confidence grew and the ability to play all three phases, contributing week in and week out, in my mind, we were able to establish being a good football team. That was the goal all along, to develop a program that puts you in position to win championships year in and year out. We were able to get that done in Year 2."
McCarthy now has Green Bay one win away from a Super Bowl appearance. The Packers will host the New York Giants in the NFC Championship Game next Sunday.
To think that Ted Thompson actually took some heat for hiring McCarthy, seems ludicrous but that's exactly what happened.
Last week Thompson was rewarded with a five-year contract extension for quietly rebuilding the Packers in the last three years.