[Spike]

Sharon Osbourne told Simon Cowell to fire Dannii Minogue if he wanted her to stay as an X Factor judge.

Contrary to recent reports, Osbourne's former co-star and close friend Louis Walsh said that her decision to quit was not the result of a salary dispute. Instead, he revealed details of Sharon's shock ultimatum and criticised Cowell for not accepting her demand.

"It's not contracts or money, it's Dannii. They don't get on at all and she wasn't happy with the situation," Walsh told the Sunday Mirror. "Sharon has walked off, she's gone. Why didn't they give Dannii the boot instead?"

Walsh added that he has not yet signed up for the new series because he is "devastated" by Sharon's departure.

"I haven't signed yet but I am negotiating. It's a difficult situation," he explained. "Sharon is a great friend, I talk to her everyday. She is devastated and so am I. I have absolutely no relationship at all with Dannii. I have no idea how she is feeling about all of this because I simply do not talk to her.

"I am going to miss Sharon greatly. The show won't be the same. Sharon is very very upset about all this. She loves the show and everything about it."

Osbourne denied rumours of a feud with Minogue for most of the fourth series. However, she later publicly claimed that Dannii had been hired by Cowell for her looks rather than her contribution to the music industry.

Meanwhile, Minogue has accused Sharon of bullying her on the set of the show.

DS