Marcello Lippi is edging ever closer to being appointed Coach of Ukraine, according to La Gazzetta dello Sport.
Earlier this month, the World Cup winner was pictured sitting with Grygory Surkis, the President of the Ukrainian FA, at a friendly in Geneva.
Surkis has denied reports that Lippi is being lined up for the job ahead of Euro 2012, which Ukraine is due to host with Poland.
La Gazzetta dello Sport understands an 18-month contract is being discussed worth €5m.
It will expire on July 1, 2012, the day of the European Championship Final in Kiev.
There is a sense that an announcement won't be made until 2011, but that will leave Lippi little time to prepare for a friendly in February.