No financial figure was released by the reigning Super Bowl champions in Sunday's announcement, but the Pittsburgh Post-Gazette reported that Ward wanted to be a Steeler his entire career, and the contract created room under the NFL salary cap.
Ward, 33, will enter his 12th NFL season in 2009 and is the franchise leader in career receptions (800), receiving yards (9,780), touchdown receptions (72), 1,000-yard seasons (five) and consecutive games with a reception (162).
"Hines has been a tremendous leader for us both on and off the field over the past 11 seasons," team President Art Rooney II said in a statement. "We are pleased to know Hines will finish his career as a Pittsburgh Steeler."
The former Georgia quarterback has led the Steelers in receptions for 10 straight seasons dating back to 1999.