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From the New York Times:

on Monday night, Democratic senators emerged from a tense 90-minute closed-door session and suggested that they were on the verge of bowing to Mr. Lieberman’s main demands: that they scrap a plan to let people buy into Medicare beginning at age 55, and scotch even a fallback version of a new government-run health insurance plan, or public option.

Mr. Lieberman said he believed that the Medicare expansion was off the table, though he did not get any guarantee. “Not an explicit assurance, no,” he said. “But put me down tonight as encouraged at the direction in which these discussions are going.”

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