Sources have told ESPN that Rick Carlisle is returning to Indiana after agreeing to a four-year deal to be the Pacers' head coach again.
Sources said the deal is worth over $29 million in incentives.
The Pacers are hiring Carlisle a week after he resigned as head coach of the Dallas Mavericks. Carlisle spent 13 seasons at Dallas, becoming the franchise's most winning coach with a 555–478 record, and leading the Mavs to the franchise's only championship in 2010–11.
Carlisle first coached the Pacers for four seasons (2003–04 to 2006–07), compiling a 181–147 record and making the playoffs three times, including an appearance in the Eastern Conference Finals in 2003–04. He was also a top assistant for three seasons (1997–98 to 1999–2000) under Larry Bird.
He will replace Nate Björkgren, who was fired after a season earlier this month.
The Pacers' five-year playoff streak ended this season when they lost to the Washington Wizards in a play-in tournament bid to earn the No. 8 seed in the Eastern Conference. Indiana was 34-38.
Carlisle, 61, has a career record of 836-689 in stints with the Detroit Pistons, Pacers and Mavs. He ranks 15th in career wins and third among active coaches behind only San Antonio Spurs' Gregg Popovich and Philadelphia 76ers' Doc Rivers.