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Italy coach Roberto Donadoni seems set to lose his job after the head of the national federation said reaching the Euro 2008 semi-finals was a condition of his contract extension.
The world champions lost Monday's quarter-final against Spain on penalties, meaning the Italian Soccer Federation (FIGC) will not need to sack Donadoni if media speculation that it wants to recall his predecessor Marcello Lippi proves true.
"The contract features an automatic two-year renewal in the case of reaching the semi-finals, which unfortunately did not happen," (FIGC) president Giancarlo Abete told reporters on Wednesday.
"Otherwise the parties have 10 days after elimination from the European Championship to assess whether to continue with the contract. If I decided not to keep the coach I would not have to proceed with a dismissal."
Donadoni talks
Abete said he would hold talks in the next few days with the 44-year-old Donadoni.
According to media reports, the FIGC is expected to announce early next week 2006 World Cup-winning coach Lippi will return.
Donadoni will receive no compensation if he loses his job.
It had been rumoured FIGC would pay six months salary, an estimated 550,000 euros ($856,800), to terminate the contract extension the coach signed ahead of Euro 2008.
However, Donadoni said he asked for the compensation package to be taken out of the deal.
"I said 'no' to the proposal the president made me on the day of renewal," he told La Gazzetta dello Sport.
"I'm not interested in the economic side of things. If I'm no longer the coach for him I'll go without asking for anything."