 He would score his last goals for the club's reserve-team scoring once in a 5–0 home thrashing against Crystal Palace on 7 April and scoring a double in a 3–1 home victory against Ipswich Town on April 21.Caballero would take no part in Arsenals 1998–99 UEFA Champions League campaign when, after making 3 appearances in all competitions, he was released on 9 June 1999 and returned to Paraguay to join former club Atlético Tembetary.In Round 1 of the Torneo Apertura 2000 Paraguayan Primera División season.