URBANA, Ill. - The University of Illinois will retire its 81-year-old American Indian mascot, Chief Illiniwek, following the last men's home basketball game of the season on Wednesday.

University of Illinois mascot Chief Illiniwek performs during an Illinois football game against Syracuse in Champaign, Ill., in this Sept. 16, 2006 file photo. The university announced Friday, Feb. 16, 2007, that the mascot, deemed an offensive use of American Indian imagery by the NCAA in 2005, will no longer perform at athletic events at the school's main campus after Wednesday, Feb. 21, the last men's home basketball game of the season. (AP Photo/Seth Perlman)

The NCAA in 2005 deemed the buckskin-clad Illiniwek an offensive use of American Indian imagery and barred the university from hosting postseason events.

American Indian groups and others complained for years that the mascot, used since 1926, is demeaning. Supporters of the mascot say it honors the contributions of American Indians to Illinois.

School officials said they received a letter from the NCAA on Thursday that said the school will no longer be banned from hosting postseason events if it drops the mascot and related American Indian imagery. The NCAA's sanctions thus far have prevented Illinois from hosting postseason events in two low-profile sports.

"The Chief Illiniwek tradition inspired and thrilled members of the University of Illinois community for 80 years," board of trustees chairman Lawrence Eppley said Friday. "It was created, carried on and enjoyed by people with great respect for tradition, and we appreciate their dedication and commitment. It will be important now to ensure the accurate recounting and safekeeping of the tradition as an integral part of the history of the university."

On Thursday, two students who portray Illiniwek filed suit seeking to bar the university from "capitulating to the NCAA by announcing the retirement of Chief Illiniwek." A hearing on the lawsuit was under way Friday morning.