According to a West Ham United source who was speaking to Football Insider, the Irons have 'laid the groundwork for a January signing' after a club announcement involving Winston Reid.

The Lowdown: End of an era...

Earlier this week, West Ham dropped a big announcement met with plenty of heartfelt reaction as they confirmed that the club and their former defender mutually agreed to terminate his deal.

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The New Zealand international had two more years remaining on his Hammers contract, which was due to expire in 2023, but he and West Ham decided to cut it short and part company after a memorable 10-year spell in east London.

After this decision, a Rush Green source has now shared some more positive news.

The Latest: Source makes January swoop claim...

Speaking to Football Insider, a West Ham source has now claimed that Reid's exit will lay the groundwork for a January signing after they paid off his deal for less than the value remaining on his contract.

Indeed, as per their information, GSB agreed a pay-off with the 33-year-old reaching around £5m, a lower figure than the estimated £7m in salary which was still to run on his deal.

West Ham's decision not only saves the club around £2m, but also frees up wage budget and delivers an extra squad berth for manager David Moyes ahead of the January transfer window.

The Verdict: Silver lining...

Reid's exit from east London, while emotional given his long-serving cult hero status, was arguably a necessity in the eyes of financiers at West Ham.

Moyes deemed the defender surplus to requirements, having loaned him out twice since the start of 2020, and keeping him on the books for a minute longer served no purpose for the club.

It was high time that West Ham agreed to cut Reid's extended stay short and part ways - but the player will always be remembered for fine moments on the field like his winner at home to Millwall in 2012 and the last-ever goal at the Boleyn Ground.

In other news: ExWHUemployee lifts lid on behind-scenes West Ham development in overhaul plan, find out more here.