Manchester United boss Sir Alex Ferguson isn't panicking over Chelsea's two failed offers for Tottenham midfielder Luka Modric.

The Telegraph says though Manchester United are thought to be monitoring his situation, Ferguson is thought to prefer both Arsenal star Samir Nasri and Inter Milan's Wesley Sneijder.

Meanwhile, Manchester City will move for Modric only should other targets fall through.

Modric is expected to release a statement this week backtracking on comments about wanting a move to Chelsea.

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