nternational Business Machines Corp. and the Justice Department are holding substantive talks for the first time in an effort to end the government's 12-year-old antitrust suit against the computer giant.

The fifth and most recent day-long discussion was held here today just after a federal judge granted both sides two more months for filing their final charges.

The charges, or findings of fact, were scheduled to be filed on Dec. 1. However, both sides argued that they would have to stop the talks if they were to meet the judge's deadline.

Justice Department and IBM lawyers said today that at the moment the talks were primarily educational seminars to acquaint the nation's top antitrust official, William F. Baxter, with the specific issues in the case.

The suit, which was filed in the last days of the Johnson administration, seeks to break up IBM on the ground it illegally monopolized the computer industry.

"All we've done is talk about the facts," IBM's lead counsel, Thomas D. Barr, said today.

"It's just a review," said Baxter, the assistant attorney general in charge of the antitrust division.

Both lawyers said they currently are not negotiating any specific settlement to end one of the longest running antitrust cases in U.S. history. Baxter said he needs "at least another six weeks" of review before he will be able to make a "reasonable judgment" about whether the litigation should continue, whether it should be settled, whether the charges should be narrowed, or whether the case should be dropped.

Nonetheless, the talks are significant because they represent the first time since the trial began six years ago that any assistant attorney general was willing to sit down and discuss the merits of the case with IBM attorneys.

Intermittent talks were begun at the end of the Carter administration under Baxter's predecessor, Sanford M. Litvack. But the discussions centered largely on negotiating procedures by which both sides would be willing to sit down and discuss the substance of the case. The talks never progressed very far.

But lawyers involved in these talks are more optimistic about their outcome. "It is anticipated by everybody that this factual education will hopefully lead to some narrowing of the issues at a minimum," said one lawyer.

The judge trying the case, U.S. District Court Judge David Edelstein, has made it clear that he would prefer to see the suit ended by settlement rather than see the case drag on to a final decision. In trial for more than six years, the case has generated more than 114,000 pages of testimony.

It was Edelstein's prodding last June that prompted the latest round of discussions, and it was clear yesterday that Edelstein is eager to see the talks continue. "I would like to cooperate in every way" to let the lawyers continue discussions, Edelstein told the lawyers today.

If the talks fail, then both sides must submit their final charges by Feb. 1, and closing arguments would take place in late April. Substantive Talks Held On IBM Suit Firm, Government Making 1st Effort In Settling Case -By Caroline E. Mayer Washington Post Staff Writer

NEW YORK, Nov. 6--International Business Machines Corp. and the Justice Department are holding substantive talks for the first time in an effort to end the government's 12-year-old antitrust suit against the computer giant.

The fifth and most recent day-long discussion was held here today just after a federal judge granted both sides two more months for filing their final charges.

The charges, or findings of fact, were scheduled to be filed on Dec. 1. However, both sides argued that they would have to stop the talks if they were to meet the judge's deadline.

Justice Department and IBM lawyers said today that at the moment the talks were primarily educational seminars to acquaint the nation's top antitrust official, William F. Baxter, with the specific issues in the case.

The suit, which was filed in the last days of the Johnson administration, seeks to break up IBM on the ground it illegally monopolized the computer industry.

"All we've done is talk about the facts," IBM's lead counsel, Thomas D. Barr, said today.

"It's just a review," said Baxter, the assistant attorney general in charge of the antitrust division.

Both lawyers said they currently are not negotiating any specific settlement to end one of the longest running antitrust cases in U.S. history. Baxter said he needs "at least another six weeks" of review before he will be able to make a "reasonable judgment" about whether the litigation should continue, whether it should be settled, whether the charges should be narrowed, or whether the case should be dropped.

Nonetheless, the talks are significant because they represent the first time since the trial began six years ago that any assistant attorney general was willing to sit down and discuss the merits of the case with IBM attorneys.

Intermittent talks were begun at the end of the Carter administration under Baxter's predecessor, Sanford M. Litvack. But the discussions centered largely on negotiating procedures by which both sides would be willing to sit down and discuss the substance of the case. The talks never progressed very far.

But lawyers involved in these talks are more optimistic about their outcome. "It is anticipated by everybody that this factual education will hopefully lead to some narrowing of the issues at a minimum," said one lawyer.

The judge trying the case, U.S. District Court Judge David Edelstein, has made it clear that he would prefer to see the suit ended by settlement rather than see the case drag on to a final decision. In trial for more than six years, the case has generated more than 114,000 pages of testimony.

It was Edelstein's prodding last June that prompted the latest round of discussions, and it was clear yesterday that Edelstein is eager to see the talks continue. "I would like to cooperate in every way" to let the lawyers continue discussions, Edelstein told the lawyers today.

If the talks fail, then both sides must submit their final charges by Feb. 1, and closing arguments would take place in late April.