MINNEAPOLIS (AP) - The Minnesota Orchestra says it will return nearly $1 million to the state arts board as its lockout of musicians continues.

The $960,000 grant was for earmarked for general operating expenses during the state fiscal year that ended Sunday.

Minnesota Orchestra CEO Michael Henson noted that the orchestra promised the Legislature last December that it would not spend the grant until it reached a contract settlement with its musicians.

The musicians have been locked out since Oct. 1 in a dispute over salary cuts sought by management. The lack of progress toward an agreement led to cancellation of the entire 2012-13 season.

Management on Monday renewed its call for the musicians' union to put forward a counterproposal. The musicians have said they won't negotiate until the lockout ends.

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