Torres scored two goals for Chelsea last night, as the Blues beat Rubin Kazan 3-1 in their Europa League quarter-final first-leg tie. The Spaniard has 19 goals in 53 appearances this season, but speculation has linked him with a return to former club Atletico.
Chelsea have been long-term admirers of Radamel Falcao, but the report claims the Blues will now have to put together a cash-only £40m deal to persuade Atletico to part with their star striker after Torres ended talk of a swap deal.
Torres, speaking after the Rubin match to EuropaPress, said: "I have never hidden that I am very grateful that I did many things [at Atletico], but the reality is that I'm at another club and I have three years left my contract.
"I have much to give back to Chelsea and plenty to prove to myself before returning back home. To go back to 'Atleti' is not a reality for now."
Torres spent six years with Atletico, even becoming club captain at the age of 19.
He's struggled since his move to Stamford Bridge from Liverpool, but has shown glimpses of a return to form this term - his header against Rubin was particularly impressive.
Still, Roman Abramovich has his eye on Falcao - La Liga's third highest scorer behind Cristiano Ronaldo and Leo Messi.
The report claims Chelsea dismissed talks regarding an exchange deal for Falcao involving on-loan goalkeeper Thibaut Courtois, but a switch involving Torres was thought to be under consideration.
That's until Torres ruled out a move last night, for the time being at least.