ATLANTA -- Running back Jamal Anderson, who suffered catastrophic knee injuries in two of the last three seasons, on Wednesday finalized a contract restructuring that will enable the eight-year veteran to remain with the Atlanta Falcons.

Anderson, 29, reduced his 2002 base salary from $5 million to $2 million and moved a scheduled roster bonus of $500,000 back several months to September. The restructured contract could save the Falcons about $3 million and it moves the team comfortably under the salary cap limit.

"This is what had to be done, since I wanted to stay here, and so I did it," Anderson said. "Were I not coming off (knee) surgery, maybe it would be different, but you also want to help the team in any way you can. If I can put up my old numbers, I'll get it back anyway."

The deal is loaded with incentives that will allow Anderson the opportunity to earn back nearly all of the base salary sacrificed in the restructuring. If he rushes for 1,000 yards, for instance, he earns a bonus believed to be $1.2 million.

Anderson said that, if he can match the 1,231-yard average he posted during his four healthy years as a starter, he will earn enough in bonuses to almost match the $5 million base salary from his old contract. The hard-running back continues to rehabilitate from 2001 knee surgery and is said to be ahead of schedule in his recovery.

New owner Arthur Blank and coach Dan Reeves had said last month that, even with some tough decisions facing the team because of a salary cap overage, they both wanted Anderson to remain with the club. It was obvious all along that Anderson and agent James Sims would do their best, within reason, to accommodate the Falcons' needs.

Anderson tore the anterior cruciate ligament in his left knee during a Sept. 30 game at Arizona and missed the final 13 games of the season. In three games, he carried 55 times for 190 yards and one touchdown.

He tore the anterior cruciate ligament in his right knee in the second game of the 1999 campaign. Anderson is trying to become just the second back in league history, with Terry Allen the other, to come back from ligament surgery on both knees.

Len Pasquarelli is a senior writer for ESPN.com.