Baptista to Arsenal as Reyes joins Real Madrid

Arsenal.com : Baptista to Arsenal as Reyes joins Real Madrid

So it's not a loan deal after all, thank goodness! Here's Wenger's view of the deal:

"Julio Baptista will be a great addition to our squad. He is a powerful young international and is a versatile footballer who can operate both in midfield and as a striker. He has shown his potential over the past few seasons in Spain with both Real Madrid and Sevilla and we’re looking forward to him joining us. While welcoming Julio we would like to wish Jose the best of luck for his time in Spain."

So that's that then. Arsenal have also confirmed that Pascal Cygan has moved to Villarreal. No word on the Cole/Gallas deal yet.