Los Rojblancos have been clear in their stance over not selling Alvarez to LaLiga rivals Barcelona following a furious war of words between the two clubs with Atleti claiming they are the sole victim in the ongoing transfer saga.
As the stakes have amped up, Atletico officials confirmed there was a '0% chance' of Alvarez heading to Catalonia, with Arsenal emerging as his sole exit option.
However, the former Manchester City man was not keen on a move back to England, and he now looks set to remain in Spain for at least another year.
Alvarez missed the 3-1 weekend win at Sevilla, after being absent from several training sessions, but the Argentinian was included in yesterday's workout and the matter is now viewed as closed.
Diego Simeone claimed 'anything can happen', but the club are now moving forward, and Alvarez could be reintegrated back into the squad for the trip to Athletic Club on September 5th.