MILAN — AC Milan needs to sell Kaka to make up for huge financial losses, club president Silvio Berlusconi and chairman Adriano Galliani said.

"Even Milan has had unthinkable balance sheets with losses of euro50-60 million per year," said Berlusconi, who is also Italy's premier. "In these times we can't afford these losses."

Real Madrid has reportedly offered euro65 million ($92 million) for Kaka and a five-year contract with an annual salary of euro9.5 million ($13.5 million).

Real Madrid president Florentino Perez said he was determined to sign both Kaka and Manchester United's Cristiano Ronaldo, but acknowledged a deal was far from concluded for Kaka.

"The (date of the) presentation is not the problem. The problem is whether we're capable of getting him to play for Real Madrid, something we haven't been able to do so far," Perez told Spain's Antena 3 television.

Berlusconi told Telelombardia TV on Thursday that Milan wanted Kaka "but it also wants players who are completely sure they want to play for Milan."

"Kaka is an extraordinary kid but he still has a relatively short career and it's only right that he thinks about his (finances)," he said. "An increase to Kaka's salary would require an increase for everyone on the squad and Milan cannot permit that."

Chelsea, meanwhile, denied that it had made an even bigger offer for the 2007 world player of the year.

"The Chelsea solution does not exist," Galliani said in Thursday's Gazzetta dello Sport. "Kaka will go to Real or he will stay at Milan."

Berlusconi indicated that no deal would be finalized with Madrid until after this weekend's European Parliament elections.

"I'm in the middle of an election campaign and therefore I've asked that Kaka and Galliani not take any decision before they have the chance to have dinner with me, and I think I'll invite (Kaka) Monday," Berlusconi told Canale Italia TV. "I'm among those that would like Kaka to stay."

Perez welcomed Chelsea's denial of a competing bid as "good news" but said the situation remained complicated.

"All I can say is we have good relations with Milan. Everyone knows I'm a friend of Adriano Galliani, which would help with this deal," he said. "I think the player too has shown his willingness to come to Madrid but it's all complicated. It's very difficult to work under this pressure."

Kaka turned down a world-record euro100 million offer from Manchester City in January.

"In January, Kaka did not want to go to Manchester City, but he would go to Madrid," Galliani said. "The reasons for Kaka's departure are exclusively economical. Even (his) heart has to face the numbers."

"Real earns twice as much as Milan," Galliani said. "It has its own stadium, it doesn't divide ticket sales or TV rights with other teams and it's helped by a fiscal setup that allows it to offer players higher salaries while spending the same gross sum."

Kaka flew home on Monday to Brazil to join the national team for World Cup qualifiers and the Confederations Cup.

Kaka's impending departure has fueled rumors that other players could also leave Milan. Carlo Ancelotti reportedly wants midfielder Andrea Pirlo to follow him to Chelsea, and the agent for striker Alexandre Pato has said his client is reconsidering his options.

"The other top players are not for sale," Galliani said. "Now we're going to get a great striker."