According to latest reports emerging in German publication Bild, Michael Schumacher has agreed to terms with Mercedes that will see him come out of retirement in 2010 to partner Nico Rosberg at the all new Mercedes Grand Prix team.

The deal has been rumoured for some time now with many F1 insiders not believing that the almost forty one year old would come back to the sport after retiring in 2006, however after constant discussions with long time friend and now team principal of Mercedes, Ross Brawn, and the agreement has now been signed.

The deal, said to be for one year only at this stage, was signed on Tuesday at the team’s Brackley headquarters. While there is still no official confirmation, Bild states that the announcement is imminent.