Hornets, Knicks Ponder Trade

On the eve of the free-agent gold rush, the Knicks and Hornets were deep in negotiations concerning Larry Johnson’s own stash of gold.

Johnson’s $70 million contract and trade kicker - worth another $10 million - are two key issues that are expected to be settled satisfactorily today, paving the way for a blockbuster deal that would bring the two-time All-Star forward to New York for Anthony Mason and Brad Lohaus. The deal could be finalized as early as tonight.

San Antonio Spurs investors have rejected a $120 million proposal from a New Mexico family to buy the NBA franchise.

Gavin and Joe Maloof of Albuquerque, N.M., had offered $90 million up front, including debt assumptions and cash, and another $30 million to be put toward building a new arena.

The Maloofs, whose family once owned the Houston Rockets, said they wanted to keep the team in San Antonio.

After saying six weeks ago that player personnel director Keith Grant wasn’t being considered for general manager, the Dallas Mavericks reversed themselves and named him vice president of basketball operations. The GM job was split in two, with chief financial officer Jim Livingston appointed vice president of business operations.