Walter Davis says he's made peace with his Phoenix Suns teammates, no small accomplishment considering that his testimony before a grand jury in Phoenix helped get three teammates indicted on drug charges.

"You can't forget it like it didn't happen," he said. "A lot of stuff happened this summer, to many of them and to me. I feel our relationship will get better as time goes on, as we get into the exhibition season and then into the regular season."

"I can play with Walter," said James Edwards, one of the indicted players. "I never had a problem with him. Walter said the county attorney put him in an awkward position. That's all I know about why he did it."

Davis, a six-time all-star guard, said he had talked to each teammate.

In Dallas, the NBA Board of Governors approved the sale of the Suns to a group headed by their general manager, Jerry Colangelo. He said Greyhound Corp. is in on the deal. The price was an NBA-record $44.5 million.

The league's recent expansion franchises got in for $32 million apiece.

In other league business there, Commissioner David Stern said he hopes management and the players union will negotiate this week, despite the union's lawsuit against the league. He said owners are "mindful" of the "expensive" football strike . . .

Three veteran Milwaukee guards, Ricky Pierce, John Lucas and Craig Hodges, remained out of camp because of contractual problems. Pierce, voted the NBA's best sixth man last season, wants his contract renegotiated to push his salary above $250,000 a year.

Lucas is a free agent who averaged 17.5 points while playing for the mininum last season. The Bucks have refused to offer him more than a one-year contract, but are willing to go longer on Hodges.