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CARDIFF CITY have released Cardiff Blues from their long term lease at Cardiff City Stadium with immediate effect.

The move will mean the Blues return to the Arms Park from next season as the Bluebirds undertake "significant branding" of Cardiff City Stadium as a football-only venue.

The decision comes as the Bluebirds consider major rebranding next season, with leaders of Supporters' groups called to a meeting with club chiefs this evening.

WalesOnline can confirm the proposed changes could see the club wear red kit and adopt the Welsh dragon as a new emblem for next season.

The club's Malaysian investors believe red is a more dynamic colour for marketing in Asia, as well as of more national significance in Wales.

Such changes would alter more than 100 years of history at the club, who have played in blue since 1908.

It is understood the move has been ordered by billionaire backer Vincent Tan, with the prospect of a stadium expansion, a new multi-million pound training facility, and boss Malky Mackay being handed a summer war chest of cash to strengthen the playing squad also on the table.

In terms of the Blues, the move back to the Arms Park comes after huge unrest among supporters who have simply not taken to the Cardiff City Stadium.

Those fans have voted with their feet throughout the season, packing out the Arms Park when the region returned for clashes against Ulster and Connacht this season.

In comparison, less than 4,000 people tunred out for the Blues' last home game of the season, despite it being a chance to say farewell to much-loved stars such as Martyn williams and Gethin Jenkins.

A statement from Cardiff City said: "Cardiff City Football Club can confirm that following positive negotiations and in the best interests of all concerned, an agreement has been reached to allow Cardiff Blues to terminate their lease at Cardiff City Stadium on 1 June 2012.

"This will see Cardiff Blues’ move back to Cardiff Arms Park over the summer in readiness for the 2012/13 football season, and will allow significant branding to take place at Cardiff City Stadium during the same time as it now becomes home solely to the football club.

"Of the agreement, Cardiff City Chief Executive Alan Whiteley said, “This is a decision that will allow Cardiff City Football Club to take positive steps forward in terms of celebrating the stadium as the sole home of the football club, while also assisting Cardiff Blues to maintain their future stability.

“It’s with the full support of our Malaysian investors that this agreement could be reached and facilitated. Satisfactory financial terms have been reached with the Cardiff Blues to allow their exit, which coupled with the Premier League aspirations of this football club and a need therefore to be in sole control of our stadium, makes this a good solution for both sides. It also provides the ability and impetus for us to fully brand Cardiff City Stadium, celebrating our history and heritage across concourses and other supporter areas, which I am sure all our fans will welcome and embrace.

“We wish Cardiff Blues every success back at the Arms Park and thank them for their openness during negotiations. The agreement will still provide the Blues with the opportunity to play occasional higher profile games at the stadium in consultation with Cardiff City Football Club. We now turn our focus to a comprehensive review of all football club operations, as is the case every close season, from which we can look forward to the new season with renewed confidence."

A Blues satement added: "Cardiff Blues is delighted to announce today that their matches for the 2012/13 season and beyond will once again be played at Cardiff Arms Park.

"The Blues moved from the Arms Park to the newly built Cardiff City Stadium in the summer of 2009. In February 2012 the Blues played two games, Ulster and Connacht, at the Arms Park, which proved popular with supporters.

"Following these games, and subsequent consultations with supporters and sponsors, Cardiff Blues CEO, Richard Holland, has negotiated a release from the Cardiff City stadium lease."

Speaking of the move, Richard Holland said:

"We are putting regional rugby back in the heart of Cardiff."

"The move to the Cardiff City stadium was done for all the right reasons. But having listened to supporters, sponsors and reviewed the financial position of the business, the board and I believe the Cardiff Blues should be playing back at the Arms Park."

"This move is important for our future sustainability, important to our supporters, and good for Cardiff Blues."

"I would like to thank the board of Cardiff City Football Club for their friendliness and openness during our negotiation over the release from the Cardiff City lease. We will still have the option of playing games at the Cardiff City stadium when demand for tickets dictates. So we look forward to seeing them again in the future and wish them the best of luck for the coming football season."

"We will be investing in improved facilities at the Arms Park over the summer, and Phil Davies our new Director of Rugby has already taken the reins of the rugby department. These are exciting times for Cardiff Blues. Our current season ticket holders will have first choice on season tickets for the forthcoming season which have been priced very competitively."

"They will receive direct communication during the next two weeks with season tickets going on sale to current season ticket holders on Monday 21 May and on general sale on Monday 28 May. Further details of corporate packages will be communicated directly to sponsors and partners."