Manager Paulo Sergio has walked out on Hearts after rejecting the offer of a new contract.
The Tynecastle club confirmed last night that talks over a new deal had broken down with the 44-year-old Portuguese, who led them to Scottish Cup glory, beating Edinburgh rivals Hibernian 5-1 at Hampden last month.
Sergio, who took over in August, said: "I deeply regret I will not continue my work at Hearts... but I cannot accept the offer the club has made me."
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