SUNDERLAND manager Howard Wilkinson insists his side are in a no-win situation today when they host First Division Watford in the fifth round of the FA Cup.

Many feel that the Wearsiders' cup run is hindering their hopes of Premiership survival.

And Wilkinson admits that the Black Cats suffered in the 4-1 defeat at Tottenham a week ago, after the exertions of their fourth-round replay shoot-out victory over Blackburn three days earlier.

Nevertheless, he maintains it is "crucial'' his men make an immediate recovery in front of their own fans.

"We paid for our cup progress last Saturday, but you're damned if you do and damned if you don't,'' said a typically cryptic Wilkinson.

"You get to a replay, extra-time and penalties, and you get someone saying: 'Wouldn't it have been better if you had gone out?' Hindsight is 20-20 vision.

"But it's crucial we bounce back from last weekend's result, and the lure of a place in the quarter-finals is a massive attraction.

"It was always going to be a difficult game at Tottenham. It was made no easier by the fact that the Wednesday before, we had gone through extra-time and penalties.

"It took a lot out of us. That's easier for me to rationalise than the players because they have been beaten, and that's all they can see.

"But I feel we can beat Watford and progress. Watford are going well and have picked up a head of steam recently.

"While we don't have the pressure of league points being at stake, there is still the pressure of a home game.

"The cup always whets your appetite. Therefore this Watford game becomes a high-priority match and it's one we want to win.

"I think the players who came off after the Blackburn replay were in good shape physically and mentally, and I think near enough the same bunch, and that same feeling, will go into the Watford game.

"I'm sure the pundits will see it as a potential banana skin, but we have to ignore that.''

With midfielder Gavin McCann struggling after picking up a calf strain against Tottenham, Wilkinson is relieved to see Jason McAteer back in the squad following his five-month lay-off with a hernia.

"Jason returning to fitness is very welcome in the sense that he is our most experienced player,'' said Wilkinson, who is equally delighted that striker Kevin Phillips has returned to the goal standard after similar injury problems.

"I think Kevin, since the new year, has finally looked to be fit, physically and mentally,'' added Wilkinson. "A fit Kevin Phillips is a big bonus.''

With the club £25m in debt, fans worry that the talismanic Phillips will be sacrificed in the summer if Sunderland go down.

Those fears were fuelled by chief executive Hugh Roberts' admission this week that, in a relegation scenario, players would be sold.

Wilkinson, declining to comment on Phillips specifically, said: "I don't think the chief executive said anything different to what has been said up to now.

"In our financial situation, we have players who are excess to requirements and from whom we would benefit if they were sold. I don't think he said anything more than that.''

* Stanislav Varga has signed for Celtic and has been granted the work permit necessary for him to be registered as a Parkhead player.

However, the FA is currently refusing to issue the International Registration Transfer Certificate (IRTC) required by the Scottish FA to enable them to register the former Sunderland defender as a Celtic player.

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