Senior executives at Microsoft and Yahoo met this week to discuss their proposed merger but did not get anywhere with the talks, the Wall Street Journal said on its Web site, citing people familiar with the matter.

Microsoft executives were not willing to raise their offer and Yahoo continued to be unwilling to enter any formal talks unless the offer was raised, according to the Wall Street Journal.

The meeting was the second of its kind, without the presence of bankers, between top executives at both companies and took place near Yahoo's headquarters in Sunnyvale.

Microsoft offered to buy Yahoo for $31 a share on January 31 but Yahoo rejected the offer, currently valued at about $42 billion, saying it substantially undervalued the company.

Representatives at Microsoft were not immediately available. A Yahoo spokeswoman declined to comment.