German Football Federation (DFB) head Theo Zwanziger has broken off negotiations over a two-year contract extension for national team coach Joachim Loew.

Zwanziger said after a specially convened board meeting at DFB headquarters in Frankfurt on Thursday that the two sides were still "too far apart" on questions concerning "administrative structures and economic issues."

"We don't want to waste our energies on contract negotiations but give our utmost support to the team coach in his preparations for the World Cup," Zwanziger said.

The German soccer chief said negotiations would resume after the World Cup, which kicks off in South Africa in June. He added that despite the failed talks, his trust in Loew had not been shaken.

Contract snag

At the heart of the disagreement is a request by the negotiating team representing Loew and his coaching staff for a signing-on fee of one year, in addition to their annual salaries.

In Loew's case, the signing-on fee would amount to around three million euros ($4.1 million).

Loew, 50, has not commented on the stalled negotiations, but is due to meet Zwanziger in Warsaw on Sunday for the draw to establish the qualifying groups for the Euro 2012 Championships.

In December, Zwanziger and Loew had agreed to extend the coach's contract by two years, sealing their deal with a much-publicized, but non-binding, handshake.

Power struggle continues

Another sticking point in negotiations was a new request by national team manager Oliver Bierhoff for the DFB to give him veto power in future nominations for the position of national coach. Bierhoff is leading the negotiations for the coaching staff.

German soccer experts speculate that the move was intended to prevent DFB sporting director Matthias Sammer from becoming national coach after Loew's contract expired.

Bierhoff and Sammer have reportedly been engaged in a long-running dispute over administrative powers in German soccer, including decisions over team tactics.

Rainer Holzschuh, the publisher of Germany's top football magazine Kicker, told television broadcaster N24 on Friday that he believed Sammer's position had been strengthened following the previous day's talks at DFB headquarters.

"That negotiations had to be broken off is a scandal and leaves an uneasy feeling with German soccer fans ahead of the World Cup," he added.

Bierhoff said he regretted the postponement of the contract negotiations until after the World Cup, but that it "won't affect our loyalty to the DFB and our commitment to prepare the team in a way that guarantees successful German soccer in the tournament."

uh/dfm/dpa/AFP

Editor: Nancy Isenson