Oct.11 (GMM) Fernando Alonso has signed a letter of intent to rejoin Renault starting next January (2008), according to emerging reports.

Germany's Bild newspaper said the document is the precursor to a definitive three-year contract (2008-2010), but only if the reigning world champion can successfully negotiate an end to his current McLaren deal.

Alonso, 26, is currently under contract to McLaren also for 2008, with an option to continue in 2009.

The news of Alonso's likely return to Renault follows reports that Toyota was offering the Spaniard a record retainer to switch to the Japanese giant for 2008.

The German magazine Sport Bild said the Cologne based team was prepared to fork out (US) $150 million for a three year deal; a comparable amount of money to that earned by Michael Schumacher at Ferrari towards the end of his illustrious career.