Match ends, Milan 0, Palermo 2.
AC Milan missed the chance to go third in Serie A as visiting Palmero inflicted just a second defeat on coach Filippo Inzaghi.
An own goal from Cristian Zapata and Paulo Dybala's strike within the space of three first-half minutes earned the Sicilians a first league away win of the campaign.
Zapata headed a corner into his own net before Dybala fired into the corner.
Fernando Torres headed wide for the hapless hosts after the break.
Milan went into the match on the back of a six-match unbeaten run but, following two straight draws, the loss leaves them nine points behind leaders Juventus in seventh.
The Rossoneri ended last campaign in eighth, 45 points behind the champions Juventus, and they looked a long way off challenging for honours again with a dismal display.
Inzaghi's men went into the match with the best attacking record in Serie A but rarely troubled a resolute Palermo as the visitors moved up to 13th in the table.
Only saves by goalkeeper Diego Lopez from Dybala and Franco Vazquez prevented Palermo from being even more convincing winners.
- 33Dias da CostaSubstituted forZapataat 3'minutes
- 13RamiBooked at 88mins
- 2De Sciglio
- 16PoliSubstituted forEl Shaarawyat 45'minutesBooked at 51mins
- 34de JongBooked at 17mins
- 10HondaSubstituted forPazziniat 68'minutes
- 21Van Ginkel
- 92El Shaarawy
- 12GonzalezBooked at 15mins
- 4AndjelkovicBooked at 45mins
- 89MorganellaBooked at 19mins
- 25MarescaSubstituted forN'Goyiat 68'minutes
- 20VázquezSubstituted forBelottiat 86'minutes
- 9DybalaSubstituted forQuaisonat 88'minutes
- 10Pereira Silva
- 14Della Rocca
- Andrea Gervasoni
- Shots on Target
Second Half ends, Milan 0, Palermo 2.
Nigel de Jong (Milan) wins a free kick on the left wing.
Foul by Andrea Belotti (Palermo).
Adil Rami (Milan) wins a free kick in the defensive half.
Foul by Robin Quaison (Palermo).
Attempt blocked. Andrea Belotti (Palermo) right footed shot from outside the box is blocked.
Foul by Adil Rami (Milan).
Edgar Barreto (Palermo) wins a free kick in the defensive half.
Substitution, Palermo. Robin Quaison replaces Paulo Dybala.
Adil Rami (Milan) is shown the yellow card.
Foul by Adil Rami (Milan).
Michel Morganella (Palermo) wins a free kick on the right wing.
Substitution, Palermo. Andrea Belotti replaces Franco Vázquez.
Nigel de Jong (Milan) wins a free kick in the defensive half.
Dangerous play by Edgar Barreto (Palermo).
Attempt saved. Franco Vázquez (Palermo) right footed shot from outside the box is saved in the bottom right corner. Assisted by Francesco Bolzoni.
Corner, Milan. Conceded by Ezequiel Muñoz.
Foul by Mattia De Sciglio (Milan).
Michel Morganella (Palermo) wins a free kick in the defensive half.