Hollywood writers and producers today (4 May) began another day of negotiating, amid persistent rumours that a deal may not be far off.

The negotiations have already stretched two full days past the official expiry date of the writer's previous contract with producers.

Reports say that the situation still remains extremely delicate, with some issues remaining to be resolved. "We're continuing to meet", Writers Guild of America spokeswoman Cheryl Rhoden told reporters. "We're not commenting on any other aspect of the negotiations."

The two sides talked until 3am(Los Angeles Time) on Wednesday, retired for the night and then returned at midday for nearly 14 hours of talks. Talks resumed again at 10am on Thursday and kicked off again at 10am on Friday.

Late on Wednesday afternoon, a group of senior Hollywood executives - including DreamWorks SKG's Jeffrey Katzenberg and Universal Pictures' Stacey Snider - joined the official negotiators.

Their presence was interpreted as a sign that the studios are keen to reach a deal with the WGA on issues such as residuals and creative rights.