Hamburg - Wolfsburg coach Felix Magath is refusing to comment on reports he is set to take over at fellow Bundesliga club Schalke from next season, Kicker sports magazine reported Thursday.

He was quoted by Kicker as telling the magazine Wednesday evening the reports appeared to be an attempt to damage him and Wolfsburg.

"I ask myself who has an interest in publicising this now... I don't at all see why I should comment on such rumours," he said.

German media reports said Magath was close to a deal with Schalke, with WDR television saying Schalke's supervisory board had confirmed it had reached "an agreement in principle" with the coach.

According to Bild newspaper Thursday, Schalke and Magath had reached an agreement "on the key points."

However Schalke would not comment on the reports.

Club general secretary Peter Peters said Wednesday the club would make an announcement on May 23, at the end of the season.

Magath, 55, has taken Wolfsburg to the top of the Bundesliga where the team has a two-point lead over Hertha Berlin with five matches of the season remaining.

According to the media reports, there are differences between Magath and Wolfsburg's board over the coach's wage demands in new contract talks.

Magath, who has a contract at Wolfsburg for another season, has wide-ranging powers as manager and coach at the club.

Schalke are reported to be ready to offer Magath a similar deal.

The Gelsenkirchen club dismissed Dutch coach Fred Rutten last month, and the team is currently under the care of a trio of caretaker coaches including former player Mike Buskens.

Under Magath's charge, Wolfsburg enjoyed the best season in the club's history last season when the team finished fifth, and are now well placed to clinch a first-ever title.

Magath won the league and cup double with Bayern Munich before being sacked by the club in early 2007.

The former Germany international midfielder, who won the European Cup with SV Hamburg in 1983, has also coached his former club, and has had coaching stints at Nuremberg, Werder Bremen, Eintracht Frankfurt and VfB Stuttgart.