The wrestling legend spoke out hours after World Wrestling Entertainment (WWE) confirmed he had been dropped as an ambassador as rumours of the damaging revelations started to leak out.

"Eight years ago I used offensive language during a conversation," Hogan said in a statement.

"It was unacceptable for me to have used that offensive language; there is no excuse for it; and I apologise for having done it."

Hogan went to say that he was "disappointed with myself" for using language that is "inconsistent with my own beliefs".

"I believe very strongly that every person in the world is important and should not be treated differently based on race, gender, orientation, religious beliefs or otherwise," he said.

On Friday, a joint report from RadarOnline.com and The National Enquirer said Hogan had used the N-word in a private conversation.

WWE removed Hogan’s profile from its website before releasing a statement that confirmed his departure, without giving a specific reason for it.

The statement said: "WWE terminated its contract with Terry Bollea (aka Hulk Hogan).

"WWE is committed to embracing and celebrating individuals from all backgrounds as demonstrated by the diversity of our employees, performers and fans worldwide."

Mr Hogan's lawyer, David Houston, told Sky News that Hogan had offered his resignation after learning about the impending National Enquirer report. Mr Houston said the WWE accepted Hogan's resignation.

Hogan was the main draw for WrestleMania in 1985 and was a fixture for years in the sport's flagship events. He won six WWE championships and was inducted into the WWE Hall of Fame in 2005 by Sylvester Stallone.

He was able to transcend his "Hulkamania" fan base to become a celebrity outside the wrestling world.