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Conan O’Brien‘s departure from NBC is turning ugly, with the outgoing Tonight Show host and NBC head honcho Jeff Zucker blaming each other for the late night debacle.

Sources connected to Conan tell TMZ that Zucker has been “nasty, arrogant and threatening” in negotiating Conan’s out.

Conan’s team is outraged, saying the entire Jay Leno/Conan O’Brien fiasco is all Zucker’s Fault.

Regarding claims that Zucker has been nasty, arrogant and threatening, an NBC spokesperson tells TMZ: “There is absolutely no truth to that. It is easy to make false statements under the cloak of anonymity.”

The Web site reports that Conan is so upset with the Peacock network that he told them he was leaving before arranging another job. Sources say Fox still has not made an offer.

An NBC source close to the negotiations tells TMZ that Conan “has acted like a baby” since the network announced the changes.

The source claims Conan’s ousting is simple math since NBC made $25 million in profits off the Tonight Show during the last full calendar year that Jay hosted, while the projected loss for 2010 had Conan stayed put was $3 million to $5 million.

TMZ claims Conan and NBC’s deal is still being worked out.

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