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Liverpool FC's latest bid for Gareth Barry rejected

Villa’s competitive season starts almost a month earlier than most of their Premier League rivals as they will travel to the winners of TPS Turku of Finland and Denmark’s Odense BK on July 19/20 but Barry is not expected to figure even if his desired move to Anfield has not been completed by then.

Barry’s situation has become so bitter at Villa though, O’Neill could well try to hold out to ensure his captain is not able to play for Liverpool in their Champions League qualifier on August 12.

And Benitez is also ready to embark on a similar war of attrition with Tottenham over striker Robbie Keane, with sources close to the Irish international striker claiming they know Keane wants to move to Anfield.

Liverpool’s willingness to meet Villa’s price tag for Barry could be assisted if Juventus meet their £16m valuation of Spanish international midfielder Xabi Alonso. Currently on holiday following Luis Aragones’s side’s success at the European Championship finals, Alonso admits that he had no idea where he’d be playing his club football next season.

However, with Juventus having been unable to lure Italian international midfielder Alberto Aquilani from Roma, they could now step up their attempts to prise Alonso away from Anfield.

After being so far thwarted in his attempts to land Newcastle United’s James Milner, Benitez is ready to re-enter the race to sign Espanyol winger Albert Riera.

Reports in the Catalan Press have suggested that Liverpool could be set to resurrect their interest for the Spanish international winger, who did not make their European Championship-winning squad.

Riera said: “In a few days my agent will arrive in Barcelona with an offer from an important club.”

Liverpool reportedly had an offer of 12million euros (£9.5m) plus Argentine winger Sebastian Leto turned down last month.

Riera, who is contracted to Espanyol until the summer of 2010, had a spell on loan at Manchester City in the second half of the 2005/06 season.

Meanwhile, Emiliano Insua has signed a new three-year contract with Liverpool.

The 19-year-old Argentina U20 international has made five first team appearances for the club – featuring in the final three matches of last season.

Insua initially joined Liverpool on loan from Boca Juniors in January 2007 but signed a permanent contract last summer.

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