The Stamford Bridge outfit have been searching for a new boss since they sacked Avram Grant last month with Ancelotti tipped as one of the main contenders.

But Galliani said: "Peter Kenyon spoke to me and has reiterated that as long as Milan will not let Ancelotti go, they will not take any action. They are very correct and we maintain a good rapport."

He added: "Chelsea will announce their new coach soon but no, I will not tell you if he is Italian."

Roma coach Luciano Spalletti, Fiorentina boss Cesare Prandelli and former Inter Milan manager Roberto Mancini have all been linked with the job.