The two sides are way too far apart, and the union leadership is trying to make up for what they lost in the 2011 negotiations so they won't give up. The company isn't going to budge on their final proposal, and they know they don't have to since they have all the leverage with the deeper pockets and wireline doesn't really impact the bottom line of the company.
I hate to say it, but the big losers are going to be the 40k people who are going to go for months without a paycheck or health coverage (COBRA is prohibitively expensive, so unemployed people can't really afford to get it).
The union should have accepted that last proposal; in the end that's what they'll end up getting anyway, so dragging the union employees through months of unemployment is an unfortunate waste.