NHL Talks Progress, Hit a Snag : Labor: Two sides meet into early morning, reach agreement on some issues but negotiations stall when a breakthrough appears imminent.

As Monday faded into Tuesday and the clock moved within 12 hours of the deadline set by Commissioner Gary Bettman for canceling the NHL season, negotiators for the league and the union were zeroing in on an agreement and had settled all but one of the differences that had threatened to kill the season.

However, league officials, who had conceded to players’ demands on several key issues, rescinded some of those concessions as the talks droned on past 2 a.m. (EST).

Six of 12 key issues raised by union chief Bob Goodenow at the outset of Monday’s talks had been resolved as midnight passed and the 102nd day of the lockout began, and the union was the winner in three key instances.

Sources said the single major sticking point was the eligibility age for free agency, but indicated if that could be settled, the remaining minor points would easily be wrapped up.

The union won the right to reopen the agreement, which the NHL had previously reserved for itself after the 1997-98 season. Players also got the league to cut the number of salary arbitration decisions clubs could walk away from if they disagreed with the arbitrator’s award from two decisions per club per season, to one.

In addition, the union persuaded the league to relax its ceiling for rookie salaries. Players had previously proposed a single cap for players drafted in the same year, regardless of the round in which they were selected. The league had set separate caps for first-round picks, second-round picks and one for all those drafted in the third round or later.

Determining the age for unrestricted free agency proved difficult. Under the old, expired agreement, only restricted free agency was attainable, and that at age 31. During the course of negotiations, the two sides agreed players would get unrestricted free agency for the first time, but players set 30 as the qualifying age in their last proposal and the league--after dissent from owners who feared free agency would cause salaries to rise dramatically--proposed age 32.

Bettman, Goodenow and their top advisers met all day Monday and well into the early hours Tuesday. Periodically, the two bargaining leaders broke off for separate meetings while their aides called general managers and players’ agents to discuss how various provisions would work for them, their players, and their clients.

Goodenow and Bettman kicked off the marathon day at about 11 a.m. by meeting alone for several hours. It was their first face-to-face encounter since Dec. 6.

They were then joined by their top lieutenants. The union’s team consisted of attorneys John McCambridge and Bob Riley, while the NHL brought in senior vice-presidents Jeff Pash and Brian Burke. Steve Solomon, the league’s chief operating officer, and attorney Bob Batterman, a specialist in labor law, were also believed to be in the expanded session.

The Kings’ Wayne Gretzky, during a conference call among players on Sunday, said he would be available to join the talks if needed. However, Goodenow and the union decided to limit participation to the attorneys who were involved in the last few discussions. Gretzky remained in California.

If an agreement ultimately is reached, each team will play a 50-game schedule that begins next Monday and consists of games only against opponents within its conference.

According to the tentative new schedule, the Kings will open the season against St. Louis at the Forum next Tuesday.

Peter Karmanos, owner of the Hartford Whalers, said NHL governors were told last Saturday the cost of canceling the season would be about $250 million to $350 million. “It scared the hell out of me,” he said.

To avoid that eventuality, negotiators staged a frantic push that brought the late promise of an agreement.

“If a deal isn’t done, the NHL as we know it is gone. It will never be the same or remotely the same. The damage would be irreparable,” said Tom Reich, an agent who has been an intermediary in the negotiations but was not involved in Monday’s session.

“It’s important for Bob and Gary to make a deal to demonstrate they can get past their differences and do business together. There’s a fear of future problems in a sport that’s still growing.”

Until the swift progress in the Manhattan meeting room Monday, reports surfaced that they were near a deal--and others cropped up saying they were near disaster.

A Philadelphia radio station, WGMP, reported at about 6 p.m. that a settlement had been reached, but a league spokesman denied that. Not long after, the CBC, a Canadian TV network, reported the union and the league had found common ground on seven of their 12 key disagreements but differed over Goodenow’s demand that players be paid for a full season.

Peter Pocklington, owner of the Edmonton Oilers, said he understood the negotiations were going well. Harry Sinden, general manager of the Boston Bruins, said he heard the talks had gone nowhere.

Anticipating that NHL players might want to jump leagues if the season were canceled, the International Hockey League created obstacles to discourage such migration.

The IHL, which has nine NHL affiliates among its 17 members, will allow them to sign NHL players. However, it set up a significant obstacle by deciding to immediately implement a payroll tax if the NHL season is called off. It had previously planned to implement the tax next season.

Any payroll that exceeds the league’s average (about $1.2 million) would be subject to the tax. Payrolls that are 15% over the average would be taxed 50% on the amount they exceed the limit. Those 25% over the limit would trigger a 100% tax on the excess amount. Payrolls that are 50% over the limit would be subject to a 200% tax.

The league’s average salary is $62,500, far below the NHL’s average of about $500,000. Only two NHL regulars have joined IHL teams, Alexei Yashin of Ottawa, who is playing for the Las Vegas Thunder, and the Flyers’ Kevin Dineen, who is playing for the Houston Aeros.

“If the NHL players want to come into our league they can come in at IHL salaries,” said Bob Ufer, the IHL’s commissioner. “I don’t have any interest in encouraging teams to do that. Why would I want to do that to the players who have chosen the IHL as their league?”

IHL rosters are 23 players. Game-night rosters are 16 skaters and two goaltenders.

Players have also discussed going to Europe or authorizing the union to stage tournaments. Mark Messier of the New York Rangers has said he will attempt to start his own league, and Rich Winter, a player agent based in Edmonton, has said he has spoken to arena operators who are interested in getting involved with a new league.

In case an agreement is reached, the Mighty Ducks rented ice time today at Glacial Gardens in Anaheim. The Kings, discouraged by gloomy reports, did not skate Monday.