An agent acting as a go-between for Real Madrid and the Paris Saint-Germain coach Carlo Ancelotti has said the Italian tops Madrid's wish list but that the situation "seems chaotic".
Ancelotti, 53, has been strongly linked with Madrid, who seem certain to lose Jose Mourinho this summer.
However, with PSG destined to finish in the top three in Ligue 1 - triggering an automatic year-long extension of Ancelotti's contract until 2014 - the future of the former AC Milan and Chelsea boss remains unclear.
"There are three or four coaches on Real's list. Carlo is best-placed on that list, but the reality is that he's still under contract with PSG," agent Ernesto Bronzetti told L'Equipe.
"The situation seems to be a little chaotic. Carlo will take his decision once he's discussed the situation with PSG."
Those talks will talk place once or if PSG - who top the Ligue 1 table by seven points with three games remaining - wrap up the title, with Ancelotti to meet Sheikh Tamim bin Hamad Al-Thani, whose Qatar Sports Investments (QSI) group owns PSG.
While L'Equipe reports that the club are considering offering Ancelotti a two-year extension, it also claims other options are being explored.
In addition to Malaga boss Manuel Pellegrini and Chelsea's interim manager Rafael Benitez, a trio of Italians has been added to the list of potential successors.
Manchester City manager Roberto Mancini, Luciano Spalletti - who has said he wants to see his Zenit St Petersburg contract through to its expiry in 2015 - and Russia coach Fabio Capello are all reported to be in the frame.
Al-Thani, however, is said to favour the appointment of Arsene Wenger, whom L'Equipe claims is due to hold talks with him later this month. Wenger recently said he would see out the remaining year of his contract at Arsenal.