Bosnich has never fulfilled his potential at Old Trafford and the arrival of World Cup winner Fabien Barthez in May effectively called time on his hopes of a first-team recall.

The statement read: "Manchester United can confirm that we have terminated Mark Bosnich's contract by mutual consent and, in doing so, we wish him well for the future".

Bosnich, who had been linked with moves to Chelsea and Monaco, was hailed as Peter Schmeichel's successor when he arrived on a free transfer from Aston Villa in May 1999.

But his fortunes soon dipped and after a couple of indifferent performances he injured his hamstring in United's third league game of the season against Leeds.

Sir Alex Ferguson clearly had doubts about his new goalkeeper and at the end of August he signed Massimo Taibi in a £4.5m deal from Venezia.

When Bosnich recovered he was unable to reclaim his place amid stories that Ferguson was unhappy with his weight and attitude.

But Taibi flopped spectacularly in his four games for United and in October Bosnich was recalled.

The Australian international's form improved and he produced arguably his finest performance for United in their Toyota Cup victory over Palmeiras in Tokyo in November.

However, Bosnich found himself dropped again after Ferguson criticised his display in the 2-2 draw at Wimbledon in February.

Raimond van der Gouw took over in goal only for the Dutchman to drop a clanger against Bordeaux to gift Bosnich back the number one spot.

Bosnich started United's next nine games, including a great performance in the goalless draw against Real Madrid, before he was injured against Sunderland in April.

That proved to be his last match of the season and he ended the campaign claiming he had answered his critics.

But Ferguson was still not happy and at the end of May he bought Fabien Barthez in a £7.8m move from Monaco.

Barthez was installed as United's new number one and Bosnich slipped to third choice when he has left out of the team's mini pre-season tour of Germany and Malta.