Portugal Coach Oliveira Fired
President Gilberto Madail said he had sent a fax to Oliveira asking for a "friendly annulment" of his contract, set to run through the European championship in 2004.
"The federation found that the conditions do not exist for him to remain in his job," Madail told a news conference carried live on most radio and television stations.
He added that he had not received a response to the fax but believed Oliveira was out of the country. Oliveira had offered to resign last week.
Oliveira's replacement will be picked by new federation leadership following elections, Madail said.
Pressure had built on Oliveira following fancied Portugal's first-round Group D exit in the World Cup. The squad, featuring 2001 World Player of the Year Luis Figo, beat Poland but lost to the United States and South Korea.
Forward Joao Pinto was provisionally suspended from club and international competition after punching a referee in Portugal's 1-0 loss to South Korea, Reuters reported.
In other fallout from Portugal's poor World Cup showing, federation vice president Antonio Boronha submitted his resignation last week.