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Although no details of Nix's new contract were released, Nutt confirmed Thursday that a salary increase has been approved.
Nix joined Nutt's first Ole Miss staff prior to the 2008 season and has been serving as defensive coordinator and linebackers coach. He will continue those duties while also serving as assistant head coach.
Under the direction of Nix, the Ole Miss defense has led the Southeastern Conference in tackles for loss in each of his two seasons and tied for the nation's lead in 2008.
The unit also led the league in sacks in 2008 and finished second in 2009. In a 2008 shutout of Mississippi State, the Rebel defense posted a school-record 11.0 sacks and 15.0 tackles for loss.