Former Blue Tony Mowbray could be set for a return to the Portman Road dugouts this Saturday after Hibs gave him permission to speak to West Brom regarding their management vacancy. The two clubs have also agreed compensation should Mowbray swap Easter Road for the Hawthorns.
Hibernian chairman Rod Petrie says that talks have been ongoing both with the Baggies and Mowbray: "Yesterday was a long day of discussions with both West Bromwich Albion and with our manager Tony Mowbray.
"The club did not disguise its hope that Tony would remain in post to continue the good work at Easter Road.
"However, there were two significant events during the day. First, Tony expressed his clear desire to have the opportunity to speak to West Bromwich Albion.
"This was then the catalyst for agreeing a compensation package.
"Secondly, Jeremy Peace of West Bromwich Albion reflected his enthusiasm to secure Tony's services, by making a much more substantial offer of compensation.
"The club's discussions with West Bromwich Albion continued late into the evening and an accommodation has been reached which will be confirmed in writing this morning.
"Given the manager's desire to speak to West Bromwich Albion and the fact that compensation has now been agreed, West Bromwich will reluctantly be given permission to speak to Tony.
"Responsibility for preparing the team for this Sunday's Edinburgh derby will now be given to the existing coaching staff."
Mowbray joined the Town coaching staff during his later days as a player and was caretaker-manager along with Bryan Klug after George Burley was sacked in 2002. The man known as Mogga moved on to manage Hibs in 2004, taking his former Town colleague Mark Venus with him as his assistant.
The former Middlesbrough and Celtic man ruled himself out of the running for the Town job in the summer after the Blues had been given permission to speak to him by Hibs.
Meanwhile, another former Town defender, Frank Yallop, is the subject of speculation in the United States. Yallop is one of a number of names being linked with the job of US head coach vacated a couple of months ago by Bruce Arena.
Yallop left his position as head coach of the Canada national side in June to take over at the LA Galaxy. However, the Galaxy have failed to make the MLS play-offs and Yallop may well be keen to move on.