Under the assumption that the unit production cost of the manufacturer is a decreasing function of the lead time, a supply chain coordination model for Newsvendor-type products with lead-time compression is developed by thinking of the lead time as the decision variable. The effect of the variation of lead time on the expected profit of each member as well as the supply chain system is explored. A combined contract of return policy and sales rebate/penalty policy is proposed to complete the perfect coordination of the supply chain. Numerical simulation shows the correctness of the conclusion.