The sides came to a compromise on the running time issue by settling in allowing the show to run at its standard 47-minute length for each season premiere and season finale. The 11 episodes in between will run 45 minutes, but Weiner will have the option of delivering a 47-minute version to be made available on VOD and ultimately on DVD. (There's also been chatter about Lionsgate cutting a deal with Netflix for streaming rights to "Mad Men.")
On the cast cost issue, it's understood that the studio backed down a bit on its demand to contain the overall growth of cast budget in future seasons.
Unfortunately all the wrangling pushed the show back to March 2012 instead of this summer.