Listen carefully - I shall say this only once. This deal is still very much alive. Madrid have made a higher offer currently but it's my understanding he definitely wants to come to us. If we match Madrid's offer then it's a done deal. If we don't then it's 50:50.
2 people I know are very much ITK have said this in the last hour or so, plus tolmie, who is usually very reliable and trustworthy, has also said it's still on. So ignore all the shit that he's done a deal with Madrid. Malaga have accepted an offer from them it seems but that does not count as "done".
