Ivan Perisic must accept a pay-cut to stay with Inter Milan.
Perisic's current deal runs to June and has impressed for new coach Simone Inzaghi.
But La Gazzetta dello Sport says the 32-year-old Croatia international has been warned that his current €5m salary is out of their budget.
Inter are suggesting he accept a drop to €3m-a-season if he wants to remain at Inter.
Perisic has scored once in eight games for the Nerazzurri.
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