Leonardo sensationally offered his resignation to Inter Milan president Massimo Moratti after defeat to Schalke, it has been revealed.
After the 5-2 home humiliation by their Champions League opponents, Leonardo met with Moratti and offered to step aside, says Corriere dello Sport.
Moratti rejected the offer, insisting to Leonardo that he maintained belief in him.
But he also warned he was expecting an immediate response after their double setback to Schalke and AC Milan.
Real Madrid coach Jose Mourinho is being linked with a return - and Moratti believes there is a real possibility. Should Real flop against Barcelona in the Champions League, Copa final and Liga in the coming weeks, Mourinho's position will become almost untenable.
Moratti, after this week's results, has fresh doubts about Leonardo's long-term future and would welcome back Mourinho with open arms.
