I would take that report with a pinch of salt.That is why he's made some allegedly pretty hefty demands.
I think the demands that he will be making will be relating to longevity of tenure.
He has always felt that he was underestimated as a manager and was never given the chance at a big club that he deserved...with some justification.
I think he may see this as a very late shot at the big prize and will really be interested in getting a longer term role than a short contract until the end of the season .
He could very easily overplay his hand and the club could easily follow other targets.
I still think Benitez is not totally out of the picture either.