Chris Powell has been sacked by Charlton, in a move that has sparked anger among fans.
New owner Roland Duchatelet showed him the door last night after their relationship broke down with the club fighting for survival at the bottom of the Championship and being dumped out of the FA Cup by Sheffield United at the weekend.
Mr Duchatelet said: “We have been working with Chris Powell and his representatives for a couple of weeks to try and agree a contract extension which would have seen us continue to work together.
“There was good progress, but we could not reach an agreement over the club’s football strategy going forward.
“The situation put a strain on the working relationship between Chris and the board. Therefore I think it is best for all parties that we part ways at this stage.
“I would like to thank Chris for his commitment and hard work over the past three years. The club enjoyed a number of good times under his leadership.
“However, given the club’s position in the league and the number of important fixtures upcoming, I felt this difficult decision was unavoidable at this time.
“We will look to quickly appoint a replacement who we feel will give us the best chance of avoiding relegation from the Championship.
“I can assure supporters this was not an easy decision, but it has been made with the club’s future in mind. Time will tell if it is the right decision.”
The former England international, who had a three-year spell in charge, had seen talks over a contract extension stall in recent weeks.
He led the Addicks to the League One title in 2011-12 But the loss at Bramall Lane has seen the club abandon the manager who enjoyed three distinguished spells as a player at The Valley.
However, despite the team's poor form, Powell has retained the support of fans who blame a lack of financial backing for the Addicks' failure to progress.
Powell’s position had been precarious ever since Belgian billionaire Duchatelet took over in January.
The club sold top performers Yann Kermogrant, Dale Stephens and Ben Alnwick during the January transfer window.
Powell's sacking leaves Belgian coach Jose Riga in charge ahead of tomorrow night's crucial match against Huddersfield Town - which is likely to see vocal support from fans for their former manager.
Powell's sacking has not gone down well with Addicks fans online, with some threatening not to renew their season tickets.
Matt Wright wrote on Twitter: "Furious. Disillusioned. Betrayal. Disingenuous. Cowards. Ill-considered. Senseless. Classless."
Charlie Perfitt said: "What's gonna happen to our club now. Thanks for everything Sir Chris."
Twitter user @HeyHoRothko said: "A good man gone for all the wrong reasons."
And Glenn Southam wrote: "How depressing. Heart and soul ripped from our club."
Addicks fan Dave Berry, a DJ and ambassador for Charlton Athletic Community Trust, said: "Chris Powell, not only a CAFC legend amongst fans but also a very nice chap.
"It's sad to see him go but what have we come to expect?
"And I don't mean just at the Valley, throughout football. You read and hear about it almost every week. Good luck Chris."
Have Charlton made the right decision or will this just make their situation worse? Leave your thoughts below.