Billy Bush Negotiating Settlement with NBC

Billy Bush showed up to a law office Friday morning ... to hash out a settlement with the NBC execs who want to give him the ax ... TMZ has learned.

Our sources say an NBC lawyer and a senior executive from NBC News "with full negotiating authority" were across the table from Bush and his attorney, Marshall Grossman.

Grossman tells TMZ the AM negotiations were "positive," adding, "I anticipate a favorable resolution in the near future."

Millions of dollars are on the table ... Billy was just months into a 3-year contract with "Today" and our NBC sources say he was pulling in $3.5 million a year.

We're told NBC made a decision Thursday to sit down at the table because Billy's people made it clear they would sue if the network tried firing him for a cause.

As we've previously reported, Billy was talking openly about the "Access Hollywood" tape in early August and NBC honchos knew what he had said, but had no problem with the tape until it was leaked.

The negotiations are continuing Friday afternoon, and Billy and NBC could be parting company by day's end.