Ann Budge says she made mistakes in the appointment and eventual dismissal of Craig Levein as manager, as she held her first Hearts AGM without him.

But the club's owner insists she does not have 'blind faith' in Levein, as he continues to work at the club in a strategic position - away from Daniel Stendel's first team.

Levein was removed from his post as manager in October but remains an employee of the club, dealing with departments other than the first team.

At a media conference following the AGM, Budge was asked if she had shown too much faith in the former Scotland boss, the businesswoman insisted that she had used her judgement, though she conceded she hadn't gotten everything right.

"I don't believe it's blind faith," she said. "It's the same way I would treat any other respected member of my management team.

"We all have strengths and weaknesses. I have been working with Craig for five-and-a-half years and I have a fairly good idea of where his strengths lie and where his weaknesses lie.

"You find a way to work together and play to somebody's strengths and not their weaknesses.

"As I said there, one of the mistakes I made was agreeing that Craig should take on both roles. There were arguments put forward for it at the time and I agreed to that. So I concede I made some mistakes. I don't think it was out of blind faith."

Budge said that she expected Levein to leave the club in the summer when his contract ends, but she did not rule out his assistant Austin MacPhee remaining in some role.

"I don't think there is any chance that Craig will continue beyond the end of this season," she said.

"Austin, that's different, because Austin has to decide what Austin wants to do and it might well be that there is something he might want to do here.

"So I can't be definitive about Austin until Austin decides which direction he wants to take his career."