Town have confirmed that Alan Lee has completed his move to Crystal Palace, as reported by TWTD earlier this evening. Lee has signed a three-year deal with the Eagles.
Boss Jim Magilton told the club site: "Alan has been a fantastic servant for this football club, but the time is right to go our separate ways. We wish him every success for the future."
Palace are believed to have paid Town a fee of £600,000 rising to £900,000 after appearance top-ups.
Lee was at Palace for talks regarding personal terms and a medical yesterday, but was back at Town this morning, but returned to South London later in the day.
The 30-year-old joined the Blues from Cardiff City in January 2006. He made 96 starts and 13 sub appearances for Town, scoring 35 goals.
Magilton is continuing his search for a big striker and will hope to have someone in by Monday's deadline if at all possible. If not, then the Town manager will look to utilise the emergency loan market when it opens a week after the window closes.
Contrary to reports elsewhere, the Blues will be able to loan Premier League players with the rules on emergency loans the same as they were for the 2007/08 season.