<P> After relegation to the Second Division in 1963, the future looked bleak with a record low home attendance of 8,015 against Swindon Town in January 1965 . In the summer of 1965, the management team of Joe Mercer and Malcolm Allison was appointed . In the first season under Mercer, City won the Second Division title and made important signings in Mike Summerbee and Colin Bell . Two seasons later, in 1967--68, Manchester City claimed the League Championship for the second time, clinching the title on the final day of the season with a 4--3 win at Newcastle United and beating their close neighbours Manchester United into second place . Further trophies followed: City won the FA Cup in 1969, before achieving European success by winning the European Cup Winners' Cup in 1970, beating Górnik Zabrze 2--1 in Vienna . City also won the League Cup that season, becoming the second English team to win a European trophy and a domestic trophy in the same season . </P> <P> The club continued to challenge for honours throughout the 1970s, finishing one point behind the league champions on two occasions and reaching the final of the 1974 League Cup . One of the matches from this period that is most fondly remembered by supporters of Manchester City is the final match of the 1973--74 season against arch - rivals Manchester United, who needed to win to have any hope of avoiding relegation . Former United player Denis Law scored with a backheel to give City a 1--0 win at Old Trafford and confirm the relegation of their rivals . The final trophy of the club's most successful period was won in 1976, when Newcastle United were beaten 2--1 in the League Cup final . </P> <P> A long period of decline followed the success of the 1960s and 1970s . Malcolm Allison rejoined the club to become manager for the second time in 1979, but squandered large sums of money on unsuccessful signings, such as Steve Daley . A succession of managers then followed--seven in the 1980s alone . Under John Bond, City reached the 1981 FA Cup final but lost in a replay to Tottenham Hotspur . The club were twice relegated from the top flight in the 1980s (in 1983 and 1987), but returned to the top flight again in 1989 and finished fifth in 1991 and 1992 under the management of Peter Reid . However, this was only a temporary respite, and following Reid's departure Manchester City's fortunes continued to fade . City were co-founders of the Premier League upon its creation in 1992, but after finishing ninth in its first season they endured three seasons of struggle before being relegated in 1996 . After two seasons in Division One, City fell to the lowest point in their history, becoming the second ever European trophy winners to be relegated to their country's third league tier, after 1 . FC Magdeburg of Germany . </P> <P> After relegation, the club underwent off - the - field upheaval, with new chairman David Bernstein introducing greater fiscal discipline . City were promoted at the first attempt, achieved in dramatic fashion in a play - off against Gillingham . A second successive promotion saw City return to the top division, but this proved to have been a step too far for the recovering club, and in 2001 City were relegated once more . Kevin Keegan arrived as the new manager in the close season, bringing an immediate return to the top division as the club won the 2001--02 Division One championship, breaking club records for the number of points gained and goals scored in a season in the process . The 2002--03 season was the last at Maine Road, and included a 3--1 derby victory over rivals Manchester United, ending a run of 13 years without a derby win . City also qualified for European competition for the first time in 25 years . In the 2003 close season the club moved to the new City of Manchester Stadium . The first four seasons at the stadium all resulted in mid-table finishes . Former England manager Sven - Göran Eriksson became the club's first manager from overseas when appointed in 2007 . After a bright start performances faded in the second half of the season, and Eriksson was sacked in June 2008 . Eriksson was replaced by Mark Hughes two days later on 4 June 2008 . </P>

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