From MLB.com:

"I just got off the phone with George Steinbrenner and he told me I'll be the manager next year," Torre said. "I'm very excited about it. This has been the best job of my life." ...

"I spoke to Joe Torre today and I told him, 'You're back for the year. I expect a great deal from you and the entire team. I have high expectations and I want to see enthusiasm, a fighting spirit and a team that works together. The responsibility is yours, Joe, and all of the Yankees.'" Steinbrenner said in a statement released by his publicist, Howard Rubenstein. "Yes, I am deeply disappointed about our loss this year, we have to do better. And I deeply want a championship. It's about time."

At the link above, there are video links for the Torre and Cashman press conferences. Personally, I'm happy to hear it. But, regardless of your feelings, with it out of the way, we can now talk about our roster.

Update: I just listed to Torre's press conference. Worth a listen. I agree with a lot of what he said.