Disappointment for Everton as Fulham cut their bid for Johnson

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With manager David Moyes facing defeat in his attempts to sign Juventus midfielder Tiago and Athletic Bilbao's Javi Martínez, his hopes of raising much-needed funds have been hit by Fulham's hardline stance over Johnson.

The clubs agreed a fee for the England striker last month, starting at £10.8m and rising through performance related add-ons to a club record buy of more than £12m.

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Everton's Andy Johnson's transfer has hit a snag

But signs of an old knee injury surfaced when Johnson took a stringent medical and Fulham withdrew the original offer. They are unwilling to pay any more than £8m now, with Everton under pressure to accept the new terms or risk the transfer collapsing.

It is a huge blow for the Merseysiders as they try to find ways of funding an £18m deal for Sporting Lisbon's Joao Moutinho.

Moyes was also hoping to take Moutinho's Portugal team-mate Tiago on loan from Juve but the player's former Chelsea boss Jose Mourinho is ready to offer him the chance to join Inter Milan.

And Everton's bid for teenage midfielder Martínez has been rejected out of hand by Bilbao.