Atletico Madrid are watching Alexis Sanchez's situation at Inter Milan.

The Chile striker is on-loan at Inter from Manchester United this season - without a purchase option.

Inter are keen to sign Alexis permanently, but have told the veteran he must accept a massive cut on his £500,000-a-week United wages to get the deal done.

For his part Alexis is reluctant and the situation has alerted Atletico.

Atletico coach Diego Simeone is a fan of Alexis, with the pair having worked together at River Plate, and believes he can talk the striker down to affordable personal terms to smooth negotiations.

United, meanwhile, will not stand in Alexis' way if he can find himself a club this summer.