The Buffalo News reports it is worth $25.5 million, an average annual value of $4.25 million. The 23-year-old was as a restricted free agent.
"We are extremely excited to have signed Cody to a long-term deal," general manager Darcy Regier said. "We feel he is going to be an important piece of our organization's success in the future and look forward to watching him develop as a player."
Hodgson played 48 games in 2012-13, finishing second on the team with 15 goals and 34 points (Thomas Vanek, 20 goals, 41 points).
In four NHL seasons, Hodgson has played in 139 games for the Sabres and Vancouver Canucks, with 77 points (35 goals).
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