Sources told ESPN Brasil that Real Madrid was not satisfied with the timing and financial arrangements for Carlo Ancelotti to exit the club, and his move reportedly took over the dangerous Brazilian national team coach.

On Monday, ESPN reported that the optimism of the Brazilian Federation (CBF) was that a deal hired Ancelotti as their new head coach was making progress in time so that he could oversee a pair of World Cup qualifiers in June.

However, Madrid is reluctant to pay for the remaining contract of Ancelotti, which expires in 2026, a move that appears to be about to be completed at the deadlock early this week.

Madrid's board of directors learned that they could accept his departure at the end of the Laliga season but were not prepared to pay for the rest of the deal.

Sources added that CBF representatives are trying to negotiate a resolution in Madrid while avoiding undue pressure on Ancelotti to deliver on the oral agreement reached.

CBF Chairman Ednaldo Rodrigues has set a May deadline to name the new Brazilian coach, and as they wait for Real Madrid and Ancelotti to resolve contract differences, the CBF has reassessed the qualifications to require coach Jorge Jesus Coach to ask the national team to participate in June Conmebol in a timely manner, sources told ESPN.

Although Ancelotti is one of the most successful coaches in Madrid's history - winning three Champions Leagues and two Laliga titles in two spells at Bernabéu - this season disappointed the Spanish Giants.

Madrid lost to Arsenal in the Champions League quarter-finals and to Barcelona in Saturday's Cup final. They trailed Laliga's Catalan Club with five games left.

Brazil has no coach since March, when they fired Dorival Júnior after losing 4-1 to rival Argentina in the World Cup qualifiers.

The five-time World Cup champions are ranked fourth in the qualifying round and will compete in Ecuador on June 4 and June 9.

If Ancelotti continues to compete in those Brazilian matches from Madrid in time, then Spanish clubs will need to find new coaches or appoint interim coaches to supervise Madrid's club club World Cup this summer.

Sources said that if Brazil cannot reach an agreement with Ancelotti, the CBF will consider meeting with Al Hilal coach Jorge Jesus in order to provide a man for the next team announcement on May 26.