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Birmingham have released Ecuador international defender Giovanny Espinoza after a unsuccessful six months at St Andrews.
The 32-year-old was one of Alex McLeish's first signings of the summer as the Blues prepared for a relegation battle on their return to the Premier League.
However, the West Midlands outfit have exceeded expectations since being promoted from the Championship and are flying high in eighth position in the table, largely through a resolute defence which has conceded just 19 goals - the third best in the division.
But Espinoza, who signed from Barcelona Sporting Club in Ecuador, has played no part in City's league success after making just two appearances this term, both coming in the Carling Cup.
And the Blues have announced the Ecuadorian's two-year contract has been "cancelled by mutual consent" and the defender is expected to return to his homeland after an uninspiring spell in England.
Espinoza is the first player to leave St Andrews this January but Gary McSheffrey could be next to follow through the exit door with Sheffield United's reportedly interest in the midfielder.
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Team news for the Championship clash between Birmingham and Cardiff at St Andrew's on New Year's Day.
Bolton put the disappointment of back-to-back defeats behind them with a 3-1 victory over struggling Birmingham.
Birmingham manager Lee Clark was angry with his side after the 3-1 defeat at Bolton.
The top three in the Championship all won, while Barnsley dropped to the bottom of the table.
Jack Butland may have to leave Birmingham in January in order to keep the club out of administration.