Manchester City target Fernando faces a dilemma after his move to Manchester City collapsed on transfer deadline day.
The 26-year-old midfielder had been lined up for a transfer from Porto, along with defender Eliaquim Mangala, as the Blues sought to secure a major double deal.
But hours ahead of the midnight deadline, City pulled the plug on both deals, with Porto wanting a whopping £46million for the pair.
Instead, the Blues will now hope to go back for both players in the summer, when Fernando will, as things stand, be available on a free transfer, with his current contract due to expire at the end of June.
But the Brazilian has been given a stark warning by the Portuguese club – if he turns down a new contract, he will be left to rot on the sidelines for the rest of the season.
The Blues wanted to bring Fernando in to add another holding midfielder to their squad, with Javi Garcia not living up to his £16million fee and Jack Rodwell still trying to regain fitness and form after his personal nightmare with hamstring troubles.
Porto wanted around £12million for him, a price City were not willing to pay when they could wait six months and pick him up for nothing.
Now Fernando is being told he will be out in the cold unless he signs a new deal, and Porto have already shown that they mean business.
Their Uruguay international full-back Jorge Fucile has been dropped from the first and second teams, and made to train alone, after a row with a coach. The highly-rated defender has played for Porto for the past eight seasons, but his World Cup hopes are now in jeopardy.
Fernando has no such fears – he is a Brazil under-20 international but has never been in the full squad and has made himself available to play for Portugal after becoming a citizen of that country last month.
His agent, Jorge Mendes, has been speaking to City under the FIFA rules which allow players to contact other clubs when they come within six months of the end of their contract.
Fernando told the Blues he was excited at the prospect of linking up with countryman Fernandinho and Yaya Toure in a powerful Blues engine room, but now he has to decide whether his desire to come to City is worth being sidelined until the end of the season.
The Blues also remain keen on six ft two ins defender Mangala, despite the fact that they refused to meet the big asking price.
The 22-year-old was targeted months ago as a long-term partner for Vincent Kompany, once manager Manuel Pellegrini had decided he did not see Joleon Lescott as the answer, and after 20-year-old Matija Nastasic began the season in indifferent form.
The Blues brought in Martin Demichelis at the end of the summer transfer window, but the 33-year-old was a stop-gap measure, signing for two seasons.
France international Mangala has also been eyed up by United and Chelsea, while he could yet be tempted by apparent interest from Paris St Germain and Monaco.
But City have had a delegation in Porto for the last couple of days, trying to secure a deal for both players.
The Blues went as far as booking a private jet to fly the players from Porto to Manchester yesterday afternoon, should a deal be struck - the flight was scheduled to land at Ringway at 3.23pm.
But in early afternoon, negotiations came to an end with both sides failing to agree, and the plane was cancelled.