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Manchester United have reportedly ended a multi-million pound deal with their legendary manager Sir Alex Ferguson as part of a cost-cutting drive.
Ferguson became the club's global ambassador and director after stepping down as manager in 2013 after a 26-year reign.
He was reportedly paid £2.16 million a year to serve as the club's global ambassador in a deal that has been in place for more than a decade.
According to ton sporting, the deal has now been terminated by the club's minority owners, Ineos, following a direct meeting with Sir Jim Ratcliffe.
The move is part of a cost-cutting plan developed by Ratcliffe's company since Ineos took over the football operations of the Premier League giants.
Sir Jim Ratcliffe has reportedly terminated his £2.16 million contract with Sir Alex Ferguson
Ferguson was reportedly told during a face-to-face meeting that his contract would be terminated
Ferguson was seen with Manchester United's new hierarchy during the club's last match at Aston Villa
The report states that Ratcliffe told Ferguson that the club was no longer prepared to make further payments in a bid to cut costs.
It was claimed that the contract had been terminated amicably and Ferguson remained a non-executive director and was allowed to attend matches.
Ferguson was photographed with Manchester United officials during the club's final Premier League match before the international break against Aston Villa.
Ratcliffe was present at the 0-0 draw, which took place before last week's scheduled board meeting.
The British billionaire hailed Ferguson as a “vital part of Man United's history” in February when Ineos became a minority owner.
“I mean, he's (the most) iconic coach in the world and he's just a huge part of Manchester United's history,” Ratcliffe told the club's Man United website.
“I mean, in the 27 years he was at Manchester United, he really made Manchester United history. And you know, he was the greatest manager of his generation.
Ferguson led Manchester United to 38 trophies, including 13 Premier League titles and the Champions League twice.
Ferguson, who won 38 trophies for Manchester United, became an ambassador for the club after retiring
The legendary boss remains the club's director and is regularly seen in the stands at matches
Man United have also reportedly canceled an employee Christmas party amid Ineos' cost-cutting drive.
Ratcliffe and his INEOS team have launched a comprehensive financial review after taking a quarter stake in the club earlier this year.
Mail Sport revealed this led to around 250 people being made redundant.
The club has sought to create a more lean operation and ensure it maximizes the amount it can spend on its team.
Some of the first areas under scrutiny were the use of private chauffeurs and corporate credit cards, and arriving officials were concerned by perceived excessive spending.
Some staff were horrified when they were told they would have to pay for their transport to the FA Cup final in a break with tradition.
Other benefits for senior staff such as the pre-match party, post-match lunch and hotel accommodation have been removed entirely, as has the ability to bring friends and family to the Wembley showcase for these staff and directors.
