A coalition of prominent Los Angeles hotels has suffered a double blow in its yearlong power struggle with the hotel workers' union, as two of nine original members publicly broke ranks on the crucial issue of the contract expiration date.

The Unite Here union is demanding that the contract end in 2006 as part of a campaign to line up expiration dates across the country. That could allow the union to call a national strike as it goes up against national chains, leaders said.

The expiration date has been the key point of contention between the two sides, with the Los Angeles Hotel Employer's Council pushing for a longer deal.

The latest hit to the council came Thursday, when Unite Here officials said they had signed a 2006 deal with the newly renamed Sheraton Los Angeles. The former Hyatt Regency was a council member until it changed ownership this week.

Like pacts recently signed between the union and six independent hotels that are not part of the coalition, the Sheraton Los Angeles contract calls for modest wage increases and a continuation of family health benefits.

More surprising was a plea for surrender sent out by Wilshire Grand General Manager John Stoddard, once a strident opponent of the union. His May 12 letter to fellow council members, obtained by the union and released Thursday, calls for capitulation on the expiration date for the sake of the local economy.

A union-led boycott has led to the cancellation of dozens of events at council hotels, amounting to at least $13 million in lost revenue, according to union researchers who are tracking customers.

"Six other hotels in the Los Angeles area, including the Beverly Hilton, have found the union's proposal to be acceptable and have signed a contract with a 2006 expiration," Stoddard wrote. "I see no reason why this same deal should not be acceptable to us."

The Wilshire Grand is contractually obligated to remain in the council and cannot sign an independent contract with the union. Union officials said the hotel would remain on their boycott list, but they would stop active campaigning against it.

Hotel council spokesman Fred Muir said Stoddard's position was no surprise and that he had been urging a more pragmatic approach for a while. With 2006 fast approaching, Stoddard argued that the council had little to lose by giving in now.

Muir said none of the other hotels shared that view. "They still think a longer contract is the way to go," he said.

With the loss of the Sheraton Los Angeles and the conversion of the St. Regis to luxury condominiums, the council is down to seven members, contractually bound to cooperate in negotiations. They are the Hyatt West Hollywood, Westin Century Plaza, Sheraton Universal, Wilshire Grand, Millennium Biltmore, Regent Beverly Wilshire and Westin Bonaventure.

The Millennium Biltmore is also on the market, and if sold, probably would drop out of the group.

Tom Walsh, secretary-treasurer of Unite Here Local 11, said he expected to see more council hotels coming over to the union's position.

"We've got a lot of momentum on our side," Walsh said. "I think we're in a very good position now."

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