Football managers, like players, also run on contracts. If the contract starts to reach its end, then the manager is free to go and manage another team/country. This agreement can be agreed and signed months before it comes into effect. However, sometimes managers might want to finish up with their respective job before an announcement is made. There could also be a financial dispute. These factors have apparently come true for current Real Madrid manager, Carlo Ancelotti.
The Italian's time at Real Madrid had looked to be up amid speculation a deal had been agreed for Ancelotti to take charge of Brazil in time for the June fixtures against Ecuador and Paraguay in the World Cup qualifiers. However, talks between the Selecao and Real Madrid now appear to be at the point of collapse. According to Marca, Ancelotti travelled to London to sign his contract with the Selecao but has now informed the CBF he won't be taking the job.
There appear to be two reasons for Ancelotti's sudden change of heart. The first is an issue of timing. Brazil had wanted Ancelotti in place for the June fixtures but the Italian had made it clear he couldn't arrive until August. Finances are also said to be playing a part. Ancelotti has received an "irresistible" offer from Saudi Arabia which may be difficult to turn down. The offer is said to be worth a staggering €50 million (£58m/$67m) net per season.
Ancelotti's decision comes at a time when Real Madrid have already drawn up a succession plan. Former midfielder, Xabi Alonso, is the favourite to take over and has an agreement in place with Bayer Leverkusen that he can leave for Madrid. Meanwhile, Ancelotti still has a year left on his contract in the Spanish capital and had asked Madrid for €4m (£3.3m/$4.5m) in compensation; but the club are said to be hoping he will depart and forgo any compensation owed.
Marca revealed the presence of Diego Fernandes, the CBF emissary, at the Real Madrid-Arsenal Champions League match alongside Spanish agent, Alvaro Costa. This businessman will be in charge of overcoming the last obstacles to make the dream of seeing Ancelotti on the bench of the Canarinha a reality: to find a way to convince him to give up the Club World Cup and join in June.
In fact, he would present himself on 26 May (La Liga ends on 25 May) to present himself and give his first list for the two matches against Ecuador and Paraguay. The day after the defeat against Arsenal, Ancelotti finished agreeing all this at a lunch with the CBF emissary to take charge of Brazil until after the 2026 World Cup.
Marca also revealed the presence in the stands at La Cartuja of Diego Fernandes. The coach met with the businessman and it was agreed that everything will be finalised on a trip to London on the Monday where the president of the CBF, Ednaldo Rodrigues, is not present. During Monday's dinner, the coach already placed obstacles in their way. Negotiations continued on Tuesday and versions of the contract were even exchanged with Madrid to make adjustments. Ancelotti didn't sign and returned to Madrid in the afternoon; accompanied by the Brazilian FA's emissary; arriving in a hurry for the afternoon training session at Valdebebas.
The CBF still hoped that Ancelotti would sign in Madrid but he didn't. It was already very late, around half past ten at night, when everything fell apart. Ancelotti said he wasn't going to sign. "It's falling apart, it's all falling apart. He said in the meeting that Madrid won't let him sign, to the surprise of the intermediaries," is the message that reached Marca's newsroom.
There are several versions of the story, depending on what Ancelotti explains. CBF sources told Brazilian media that Ancelotti wanted to collect part of his money from the year he has left at Madrid. However, sources close to Ancelotti deny this and, in fact, claim that Madrid hadn't put any impediment and that he hadn't asked for compensation from the club. What does seem clear is that the problem lies in the fact of signing a contract with Brazil without being released from Madrid. In this case, it's something that would pose risks to the coach with the Spanish club.
Real Madrid had given Ancelotti the green light to negotiate but wasn't in favour of him signing yet, as it was understood that it would end up being leaked by the CBF and an agreement would be announced while the coach was playing in La Liga with Los Blancos. Barring a major surprise, this deal has fallen through; although there are still details to be gathered even by people who are inside the negotiations and who still don't really know the reason for Ancelotti's refusal.
It may also have annoyed Real Madrid that Ancelotti returned to Madrid on Monday afternoon accompanied by the CBF emissary and that his presence has been revealed by some media over the last few weeks.
It was reported that Real Madrid president, Florentino Perez, was refusing to let Ancelotti leave due to economic reasons. It was claimed that Ancelotti wanted to be paid the money he was due in the last year of his contract but that wasn't acceptable with Real Madrid; who wanted him to leave for free.
With Real Madrid refusing to adhere to those terms and seemingly being unwilling to budge, the Brazilian Football Confederation (CBF) pulled the plug on the deal and walked away from negotiations with the ex-AC Milan and Everton boss. Jorge Jesus, who currently manages Al Hilal, is now the favourite to take the job.
New information about the collapsed deal has now emerged, with Yahoo! claiming, via Marca, that the agreement, which had been in the works for months, was close to completion before a sudden change threw everything off course.
Ancelotti could well still be on the move this summer. Marca claim that behind his failed move to Brazil is a multi-million-dollar offer from Saudi Arabia.
The figures being discussed are crazy - around $50 million net per season. That figure would make him the highest-paid manager in world football by some distance. It also goes without saying that he would earn a far lot more money managing in Saudi Arabia than he would have done should he have taken up the Brazil job.
Ancelotti, now 65 years old, is coming to the twilight years of his illustrious managerial career. While he has earned an extraordinary amount of money throughout his career as both a player and manager, the money on offer from Saudi Arabia would be hard to turn down. In fact, Marca even described the offer as 'irresistible'.
Contrary to the swirl of rumours, it appears that the relationship between Ancelotti and Perez is as harmonious as ever, with both parties remaining in constant communication and sharing a mutual understanding of their goals.
According to the report, the two are focused on the immediate objective of securing La Liga glory before considering what comes next. The outlet also mentions that there seems to be a shared understanding that this could potentially mark the end of what is widely regarded as one of the most successful eras in the club’s history.
Despite the swirling speculation, including links to Brazil’s national team, Xabi Alonso and even the possibility of a move to Saudi Arabia, there has been no official break in Ancelotti’s commitment to Real Madrid.
His relationship with the club remains professional. In fact, the Italian coach has not made any move to finalise a future with Brazil, leaving the door open while honouring his current contract with Real Madrid.
Ancelotti’s situation remains fluid. He has not asked for any financial compensation should his tenure at Real Madrid come to an end, dispelling rumours that he was negotiating a contract termination.
Additionally, the talk surrounding his two-day trip to London has been downplayed, with no ill will or tension between him and the club regarding his time away.
The Brazilian Football Confederation has been eager to secure Ancelotti’s services but the manager hasn't committed to them, even though managing a national team in the future remains an enticing prospect.
For now, Ancelotti’s focus is on his responsibilities with Real Madrid, with no immediate decisions being made regarding his long-term future.
Real Madrid, Carlo Ancelotti and Brazil seemed like the perfect triangle of convenience until this week, when negotiations reportedly hit the rocks between the Italian and the Selecao. However, from the Spanish capital at least, the word is that Ancelotti will be allowed to move to the Brazilian national team.
With Ancelotti all but out at Real Madrid, and Brazil desperate to bring Ancelotti in, it seemed a foregone conclusion that the deal would get done this month. However on Tuesday news emerged that negotiations had broken down, with differing versions emerging between Los Blancos, Ancelotti and Brazil.
However, that news has been denied over the last 24 hours and Marca say that Los Blancos won't stand in Ancelotti’s way if he wants to leave for Brazil. They explain that Ancelotti wouldn't sign a deal with Brazil while he had a commitment with Real Madrid and that his relationship and understanding of the matter with Florentino Perez remain in tact.
First and foremost, Ancelotti will focus his efforts on trying to win La Liga. After that, Perez and Ancelotti will discuss matters and then, in all probability, go their separate ways. The end of Ancelotti’s spell will be on good terms though and, if indeed that is the case, Ancelotti will be free to depart and join up with Brazil for the June South American World Cup qualifiers against Ecuador and Paraguay.
It certainly leaves Ancelotti with a tricky task to motivate a group of players that have seemed frustrated for some time, with little authority left, knowing that he likely has just weeks left in the role. It also means that Director of Football, Santiago Solari, would be required to take over on an interim basis for the Club World Cup, as Xabi Alonso, by all accounts Ancelotti’s replacement, is not keen to come in beforehand.
Loyalty is a powerful aspect in sport. If one is loyal, they will garner great support and applause from everyone from the club; fans would also be involved in this. Disloyalty will get you booed very quickly and will tarnish your legacy at the club, no matter how successful you might've been.
I don't quite understand why Real Madrid aren't happy with the whole situation. They gave the green light for the negotiations but then they made a 180. It's quite clear that they are planning for Xabi Alonso's arrival for next season. If it's the compensation, then that's just ridiculous. The club isn't exactly known to be cheap.
No matter what happens, Ancelotti will be in good hands. This might come from Real Madrid; the Brazil gig or a Saudi move. He won't be short of opportunities.