Liverpool's chances of progressing in the Champions League took a big hit yesterday when the five-time European champions conceded late to draw 1-1 at Lyon, which advanced to the next round.

Liverpool looked to have secured victory when substitute Ryan Babel scored with seven minutes left, but Lisandro took advantage of a defensive error to equalise in the last minute and put the French team through.

With Arsenal moving to the verge of qualification with a 4-1 win over AZ Alkmaar, Liverpool are in severe danger of becoming the first English club to fall at the group stage since Manchester United in 2005. Even wins in their final two games may not be enough.

Also yesterday, Sevilla advanced to the knockout stage after their 1-1 draw at Stuttgart and Inter Milan scored twice in the last four minutes to revitalise their chances with a 2-1 win at Dynamo Kiev.

But Liverpool let their winning position slip when defender Sotiris Kyrgiakos tumbled to the ground while contesting a long ball into the area, allowing Lisandro to steady himself and shoot past goalkeeper Pepe Reina.

"We deserved to win," manager Rafa Benitez said. "To concede a goal in the last minute is really unlucky. I will see the replay and analyse carefully."

Goalkeeper Hugo Lloris had starred for Lyon, which won 2-1 at Anfield two weeks ago. Lloris saved from Lucas Leiva in the 69th and then helped block Dirk Kuyt's overhead kick on the rebound.

Four points

Liverpool have just four points from four games, six fewer than Lyon and five fewer than Fiorentina, which routed Debrecen 5-2 through goals by Adrian Mutu, Dario Dainelli, Riccardo Montolivo, Marco Marchionni and Alberto Gilardino.

"It's hit us hard," Liverpool defender Jamie Carragher said. "A draw doesn't mean we were totally out of it but a win would have been great."

Arsenal need just one more point to be sure of following Manchester United and Chelsea, which advanced Tuesday alongside FC Porto and Bordeaux on Tuesday, into the next round with a third win from four games.

Cesc Fabregas put the Gunners ahead at Emirates Stadium in the 25th with a soft 20-yard shot that goalkeeper Sergio Romero let in at the near post and Samir Nasri made it 2-0 just before half-time, stepping inside a defender and placing a shot in at the post from the edge of the area.

Backheeled pass

The Dutch side conceded again in the 52nd, giving the ball away in their own half and letting Andrei Arshavin set up Fabregas for a shot into the top corner. Abou Diaby made it 4-0 in the 72nd from Arshavin's backheeled pass.

"Let's keep this attitude and spirit and we can deliver something special," Arsenal manager Arsene Wenger said. "They have a fantastic attitude and great quality and great spirit."

Inter Milan vaulted from last to first place in Group F, ahead of Barcelona. Diego Milito equalised in the 86th after Andriy Shevchenko had given Dynamo Kiev the lead midway through the first half and Wesley Sneijder pounced on a goalkeeping error to hit the winning goal in the 89th. Inter have six points in the competition's tightest group, one more than Rubin and Barca and two more than Dynamo Kiev.