Owls appoint Yorath

Terry Yorath is Sheffield Wednesday's new manager

Sheffield Wednesday have confirmed Terry Yorath as their new manager.

Yorath has been appointed manager until the end of the season with an option to extend the contract in the summer.

He becomes Wednesday's ninth boss in 10 years.

Yorath will be joined at the club by Willie Donachie, who has been appointed as the Owls' new assistant manager.

Donachie resigned his post as second in command to Kevin Keegan at Manchester City on Wednesday.

Former Wales boss Yorath has halted Wednesday's decline since Peter Shreeves quit last month.

Three victories and a draw from six matches have been enough to convince chairman Geoff Hulley and his board of directors that Yorath can lead the First Division club to safety.

"I would say this coaching team is as strong as you are going to find in English football," said Hulley.

"All we are looking for is an improvement in the quality and attractiveness of the football, which should hopefully lead us away from danger."

Donachie had previously worked under Nigel Spackman at rivals Sheffield United three years ago, but initially built his reputation at Everton and Oldham, working alongside Joe Royle.

Donachie is quitting Maine Road for Hillsborough

The Scot told Manchester City's official website: "This has been a very difficult decision to make as I have had a lot of very good times at City.

"However, the new challenge at Wednesday is one that I feel I should accept."

It is not yet clear whether Wednesday will have to pay City compensation for Donachie.

The Owls' are currently in financial trouble, with the club still £16m in debt.

Unusually, Donachie has penned a two-and-a-half year deal with Wednesday, while Yorath has only signed until the end of the season - albeit with the option of a further year.

"People are aware of the financial constraints at this club, but I am sure they are capable of getting the best out of what we've got," Hulley explained.

"There is no set minimum we are asking Terry to do this season.

"Circumstances will always dictate what happens, but as people have seen in the matches which Terry has been in charge - things have changed."