"We have mutual competitive alliances with Phladelphia, Montreal and New York," Danforth said. "We feel it would negatively impact our gate and our television revenue. Philosophically, we're firm in that position. I don't think we could be persuaded otherwise." Second Thoughts Emerge

But on the way back to Pittsburgh, Danforth discussed the matter with Mark Sauer, the Pirates' president, and then Sauer spoke the next morning with General Manager Cam Bonifay. Second thoughts quickly emerged, and they concluded that a change could be beneficial.

Danforth informed baseball officials last Friday morning that "the more we talked, the more we felt that it was the right move for us." Telephone calls among officials of the three clubs and Bill White, the league president, followed before the matter was considered resolved.

"From a baseball viewpoint, I didn't think it was a major issue where we were," Bonifay said yesterday by telephone from Bradenton, Fla. "Based on our rivalries and our fan base, we feel comfortable being in the Central Division."

Including factors other than competition, Bonifay said the club's conclusion was the same, basing their views to some extent on the Steelers' position in the National Football League's Central Division. The Pirates will be grouped with two of the same cities the Steelers have in their division, Cincinnati and Houston.