HARRISBURG, Pa. (AP) — The core issues of wages and benefits remained unsettled in Pennsylvania on Wednesday as negotiations between the governor and the two largest state-employee unions stretched into a third straight day.

Contracts with 17 unions representing about 60,000 workers expire on June 30 and spokesmen for both sides said they were hopeful a tentative agreement could be reached before then.

"We're still optimistic," Dan Egan, spokesman for the governor's Office of Administration, said late Wednesday afternoon as discussions with Council 13 of the American Federation of State, County and Municipal Employees and Local 668 of the Service Employees International Union continued at separate, undisclosed locations.

Republican Gov. Tom Corbett is calling for contract concessions that include a 4 percent pay cut and rollbacks in health coverage.

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