Newcastle are starting to find it very difficult to attract the stars to St James' Park, and Keegan has not got the drawing power he had 15 years ago.
The days of signing the Premiership's best like Les Ferdinand, Alan Shearer etc seem to be at an end, even though the club is officially the 18th richest club in the world!
It is a major concern, especially as owner Mike Ashley has allegedly put a cap on wages, and that immediately rules out the top players.
But KK is determined to try his utmost to bring Dunne to Tyneside.
The 28-year-old defender's future at the club had been uncertain with owner Thaksin Shinawatra as unpredictable as ever.
Dunne Has Big Decision To Make!
Dunne, voted as City's Player of the Year for the last four seasons, had stressed the importance of "stability" at the club.
But following Hughes' appointment as manager, Dunne now appears to be satisfied the club is moving in the right direction and has been offered a deal that would put him into the highest earning bracket at City.
Hughes: "I've spoken to Richard, he's on holiday abroad at the moment but I've had a discussion with him and I've told him my feelings on the situation.
"Obviously I'm very keen for him to remain at the club, and we're working in that direction.
"It's a little bit difficult because he's away at the moment, but I'm sure that when he's back this will be resolved very quickly.
"We have offered Richard a substantial deal, there may be more negotiations to be done but I am very hopeful that he will continue to be a Manchester City player."
Dunne: "It was disappointing that Sven had to leave, but in Mark Hughes we have got an exciting young manager who has done particularly well at Blackburn.
"Premier League experience does count for a lot and he has proved that he can mix it with the best over the last few seasons.
"I know from speaking to players who have been in his side that he is a disciplined and highly-regarded coach, and that bodes well for the club."