AC Milan coach Carlo Ancelotti has admitted for the first time Kaka may not remain at the club and could move to Manchester City.
The Milan hierarchy have not made an official declaration on Kaka's status with the Rossoneri but Ancelotti said on Friday afternoon at the club's press conference ahead of Saturday's game against Fiorentina: "I believe there is a negotiation ongoing and hence, it's something the club will have to evaluate with the player.
"My hope is that I can coach Kaka for many more years but we have to look at what the club evaluates regarding an offer that has been presented."
He added: "It's normal that regarding the player there is a lot of importance placed for his role that he has at Milan.
"The stories change, you cannot think of the football of 20 years ago, in football great investors are entering and it's normal and right to evaluate it in this way.
"The aims remain the same for the team, with or without Kaka."
City have reportedly made a £108million (120million euros) offer for the Brazilian superstar.
The 26-year-old midfielder is under contract until the end of the 2012-13 campaign, and said this week he wanted to remain with Milan for a very long time.
Real Madrid and Chelsea previously failed with bids to prise the Brazil international from the Rossoneri.
But Milan appear to be weighing up an offer that could be too good to turn down.
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