Newcastle United are prepared to settle their transfer dispute with Real Mallorca over winger Jonas Gutierrez.

The Mirror says the Argentine international bought himself out of his contract with Mallorca to join the Geordies in the summer - and United were hit with a £13.2million compensation bill from the Spaniards.

However Newcastle are ready to pay up, with help from FIFA, who are arbitrating in the matter, for just £3-4m.

United hope a deal between the clubs will be finalised soon, with a fair price for the winger who has impressed during a difficult season on Tyneside. FIFA's transfer arbitration tribunal, the Dispute Resolution Chamber, are dealing with the case.