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NBC and O'Brien

By United Press International
Conan O'Brien (R) and wife Liza arrive at the 61st Primetime Emmy Awards at the Nokia Center in Los Angeles on September 20, 2009. UPI /Lori Shepler
Conan O'Brien (R) and wife Liza arrive at the 61st Primetime Emmy Awards at the Nokia Center in Los Angeles on September 20, 2009. UPI /Lori Shepler | License Photo

BURBANK, Calif., Jan. 21 (UPI) -- NBC reached an agreement with Conan O'Brien to end the comedian's seven-month tenure at "The Tonight Show."

"The Wrap News" reported Thursday O'Brien signed a deal worth more than $40 million to vacate his late-night position, allowing Jay Leno to return as host of the late-night mainstay, a job he held for 17 years. O'Brien's final "Tonight Show" is to be Friday, the report said, citing O'Brien's manager.

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The Wall Street Journal said O'Brien would be paid $32 million and his staff would split $12 million. He could return to the airwaves on an NBC competitor next fall.

Leno would return to "The Tonight Show" after NBC's coverage of the Winter Olympics (Feb. 12-28) ends.

The changes were spurred by the inability of Leno's prime-time show, which was much like "The Tonight Show" when he was host, to catch on with viewers.