Everton have confirmed that they are in negotiations to sign Arsenal defender Philippe Senderos but say a fee has yet to be agreed for the 24-year-old Swiss international. The Swiss Football Federation earlier claimed on their website that the defender's move had been confirmed.

However, Everton chairman Bill Kenwright said: "We have been negotiating with Arsenal for the transfer of Philippe. Nothing has been concluded yet but talks are on-going."

A fee of about €7million is being discussed for the player who was on loan to AC Milan last season, playing 15 times.

An Everton club source insisted that Senderos - who joined Arsenal in 2003 - was not being signed as a direct replacement for Joleon Lescott, who is at the centre of a battle with Manchester City for his signature.

Everton have rejected two bids, €17.5million and €21million, for the England defender. Lescott did hold talks with boss David Moyes on Monday, but stopped short of handing in a formal transfer request.

Senderos is being lined up as cover at the back for Everton, where Phil Jagielka is not due back from a knee injury until November at the earliest.

However, Senderos's arrival on Merseyside would compensate for a possible Lescott departure.

Lescott has been told by Moyes he will not be sold and City have yet to put in a third bid.

Everton's stance has been firm throughout the saga, and if Lescott did submit a formal transfer request there is every chance that the club would turn it down.

Manchester City believe the fee will be closer to €35million, and may well feel that is too much to pay.