Real Madrid have put striker Robinho's move in doubt by declaring he is under contract to them for two more seasons.
The 24-year-old was understood to be close to sealing a Ј30m move, with Blues chief executive Peter Kenyon confident the deal would go through.
But Real president Ramon Calderon said on Thursday: "The coach and the sports director Chelsea monitoring Real's Robinho ...
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"It is impossible for us to have one better than the one we have."
And Real sporting director Predrag Mijatovic added: "Robinho has two years left on his contract.
"Therefore he is our player for the next two seasons, so you can draw your own conclusions from that."
The sticking point appears to be that Real have been unable to secure a replacement for Robinho.
Real are believed to want Villareal's Spain international Santi Carzola or Valencia's David Villa but are not currently close to a deal for either player.
Real's comments are in stark contrast to Kenyon's statement on Wednesday, when he told BBC London 94.9: "Everybody expected negotiations to go close to the wire and that's what it will do but we're confident it will happen.
"There are no hitches, it's just a lengthy process."
Reports had suggested that the Brazil international could cost the Blues about Ј30m.
And his agent Wagner Ribeiro told BBC Radio 5 Live this week that the deal could be completed in time for Robinho to play in Chelsea's match against London rivals Tottenham on Sunday.
(BBC)
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