Smith's agent told the Echo on Saturday
'I've spoken to Peter (Ridsdale) and we are in contact.
'But until I and Alan speak to the club (United) - we are unsure of the future.
'To be honest this whole thing has come out of the blue and that's why we are not able to make a decision yesterday or today on Alan's next move.
'Both Alan and I are in shock over what has happened during the last day or so and we need to speak to the Sir Alex about the latest situation - in particular what happens if a loan deal is done, what happens after the loan deal is completed and Alan returns to United.'
It's understood that Smith does not want to drop to the Championship, he wants to fight for his place at Utd but Alex Ferguson has made it clear he thinks a move away on loan would be good for the player to get games under his belt.
Everton are said to be interested in a January move for Smith while he's been linked to Leeds and Ipswich as well as City for a possible loan move until the transfer window opens.