Bayern's proud home record of 11 Champions League games without defeat, held since November 2004, came to an abrupt end as they lost the quarterfinal 4-2 on aggregate.

The Italians came alive midway through the first-half with two goals in less than five minutes by Clarence Seedorf and Filippo Inzaghi, which booked Milan a semifinal berth against Manchester United.

But the disappointment was acute for the Germans, who had held the advantage from the first-leg after Belgian defender Daniel Van Buyten's equaliser in the third minute of stoppage time gave Bayern a 2-2 draw at the San Siro last week.

AC Milan coach Carlo Ancelotti said that with all the problems his side had faced during the season they had shown real character.

"With the loss of points in the championship (over the matchfixing scandal) and injuries since the month of December we have been showing what we are capable of," said Ancelotti.

"We really handled this match well, especailly once I moved Seedorf out to the left a bit more," he added.

Bayern coach Ottmar Hitzfeld admitted the result was a bitter blow.

"The disappointment is massive," said Hitzfeld, "because we had high hopes after making a good start in Milan. But I have always said that Milan would be dangerous."

Bayern Munich president and football legend Franz Beckenbauer echoed Hitzfeld's sentiments after watching his side squandered their first-leg advantage.

"I am disappointed because we had high hopes after the first leg, but I must say AC Milan were the best side over the two legs," he said.

"We tried everything in the second-half to get back in the game, but we did not take our chances.

"We made errors and perhaps we lacked some creativity."

Bayern suffered a blow before kick-off when German international Bastian Schweinsteiger pulled out with a knee injury he suffered in last weekend's 2-1 win over Hanover, after scoring the winning goal, and his influence was missed.

Bosnian international Hasan Salihamidzic came in at right-back for injured Argentinian Martin Demichelis, while Owen Hargreaves partnered Dutch hardman Mark van Bommel in midfield.

"We didn't play well," admitted van Bommel, with the disappointment etched all over his face.

"We started in a positive fashion, but we made life hard for ourselves when they scored two quick goals.

"We had a few chances late in the second-half, we just couldn't take them."

By contrast Milan's hardman midfielder Gennaro Gattuso said that they had never lost hope even after being held 2-2 at home.

"This is our fourth semifinal in five years. If that isn't a great team then I don't know what is.

AC Milan were missing cup-tied Brazilian Ronaldo and Italian striker Alberto Gilardino was suspended after picking up a yellow card in the first leg as the Italians.

Ancelotti played a 4-4-1-1 combination with Kaka just behind lone striker Inzaghi and it proved to be a winning formation.

Bayern had several early half-chances and Milan had to wait until the 20th minute for their first real opportunity when Inzaghi directed a weak header straight into the arms of Bayern captain and goalkeeper Oliver Kahn.

But the guests drew first blood when Seedorf drove his shot hard and low past the diving Kahn to give the visitors a 1-0 lead after 27 minutes to silence the home fans.

And just five minutes later the German giants suffered a hammer blow when Inzaghi was put into space past Bayern defender Lucio and his powerful shot gave Kahn no chance on 31 minutes.

Lukas Podolski squandered a chance to pull a goal back when van Bommel's cross fell at his feet in the six-yard box, but he failed to connect and Dida scooped the ball out of danger as the Italians went into the break 2-0 ahead.

Bayern came out firing after the interval and Salihamidzic picked up a yellow-card for a heavy challenge just after the hour mark as his side pushed forward.

The home side camped in the Italians half in the dying stages as Podolski went close on numerous occasions and subsititute striker Claudio Pizarro hit the side netting with five minutes left.

But it was too little, too late and Milan now face Manchester United in the semifinal on 24/25 April for a place in the Athens final up for grabs on May 23.