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DE RUEHTV #0844/01 0781129
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P 191129Z MAR 07
FM AMEMBASSY TEL AVIV
TO RUEHC/SECSTATE WASHDC PRIORITY 0070
RHEHAAA/WHITE HOUSE WASHDC PRIORITY
RHEHNSC/WHITE HOUSE NSC WASHDC PRIORITY
RUEAIIA/CIA WASHDC PRIORITY
RUEKJCS/SECDEF WASHDC PRIORITY
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RUENAAA/CNO WASHINGTON DC PRIORITY
RHEFDIA/DIA WASHINGTON DC PRIORITY
RUEKJCS/JOINT STAFF WASHDC PRIORITY
RUEHAD/AMEMBASSY ABU DHABI PRIORITY 1831
RUEHAS/AMEMBASSY ALGIERS PRIORITY 8583
RUEHAM/AMEMBASSY AMMAN PRIORITY 1760
RUEHAK/AMEMBASSY ANKARA PRIORITY 2646
RUEHLB/AMEMBASSY BEIRUT PRIORITY 1821
RUEHEG/AMEMBASSY CAIRO PRIORITY 9624
RUEHDM/AMEMBASSY DAMASCUS PRIORITY 2556
RUEHLO/AMEMBASSY LONDON PRIORITY 9474
RUEHFR/AMEMBASSY PARIS PRIORITY 9949
RUEHRB/AMEMBASSY RABAT PRIORITY 6565
RUEHRO/AMEMBASSY ROME PRIORITY 3962
RUEHRH/AMEMBASSY RIYADH PRIORITY 8840
RUEHTU/AMEMBASSY TUNIS PRIORITY 3057
RUCNDT/USMISSION USUN NEW YORK PRIORITY 4976
RUEHJM/AMCONSUL JERUSALEM PRIORITY 6275
RHMFISS/CDR USCENTCOM MACDILL AFB FL PRIORITY
RHMFISS/COMSOCEUR VAIHINGEN GE PRIORITY
RHMFIUU/COMSIXTHFLT  PRIORITY

UNCLAS TEL AVIV 000844 
 
SIPDIS 
 
STATE FOR NEA, NEA/IPA, NEA/PPD 
 
WHITE HOUSE FOR PRESS OFFICE, SIT ROOM 
NSC FOR NEA STAFF 
 
SECDEF WASHDC FOR USDP/ASD-PA/ASD-ISA 
HQ USAF FOR XOXX 
DA WASHDC FOR SASA 
JOINT STAFF WASHDC FOR PA 
CDR USCENTCOM MACDILL AFB FL FOR POLAD/USIA ADVISOR 
COMSOCEUR VAIHINGEN GE FOR PAO/POLAD 
COMSIXTHFLT FOR 019 
 
JERUSALEM ALSO ICD 
LONDON ALSO FOR HKANONA AND POL 
PARIS ALSO FOR POL 
ROME FOR MFO 
 
SIPDIS 
E.O. 12958: N/A 
TAGS: OPRC KMDR IS
 
SUBJECT: ISRAEL MEDIA REACTION 
 
-------------------------------- 
SUBJECTS COVERED IN THIS REPORT: 
-------------------------------- 
 
Mideast 
 
------------------------- 
Key stories in the media: 
------------------------- 
 
The outcome of the formation of the PA government and some cracks in 
the international boycott of the new cabinet were the dominant 
themes in this weekend's media. 
 
On Sunday, The Jerusalem Post and other media noted that while PA 
Chairman [President] Mahmoud Abbas offered Israel "peace of 
freedom," Palestinian PM Ismail Haniyeh backed "all forms of 
resistance."  The Jerusalem Post reported that new Palestinian FM 
Ziad Abu Mar told the newspaper on Saturday that the Palestinian 
unity government implicitly recognizes Israel. 
 
Te media said that on Sunday Israel's cabinet voted overwhelmingly 
to uphold the boycott of the new Palestinian government, with 19 
ministers voting in favor and none against. Education Minister Yuli 
Tamir, and Minister of Culture, Science and Sport Raleb Majadele, 
both of Labor, abstained in the vote.  Prime Minister Ehud Olmert 
was quoted as saying during the weekly cabinet meeting that "Israel 
expects the international community not to be misled by the 
formation of the Palestinian unity government, and to persist with 
its position of isolating the government that rejects the principles 
set out by the Quartet."  The PM added that the new government 
encumbers Israel's ability to conduct a dialogue with Abbas, because 
it includes problematic figures whom Israel cannot accept because 
they do not recognize its existence.  Olmert told the cabinet that 
during his recent meeting with Abbas he had made it clear to him 
that Israel would not recognize a Palestinian government that 
includes representatives of Hamas.  "Abbas promised me that the new 
government would not be formed before the release of Gilad Shalit, 
but he did not keep this promise," noted Olmert. "The rocket fire 
has continued on a daily basis and what has Abbas done about this?" 
 The media reported that Defense Minister Amir Peretz called on the 
government to begin negotiations with Abbas on a final settlement, 
rather than waiting for the Palestinians to disarm their factions 
and dismantle the terrorist infrastructure, as required by the road 
map plan.  Yediot said that Olmert vigorous rejected Peretz's idea. 
Peretz was quoted as saying that kicking off such a process would 
bring the political initiative back into Israel's hands, and would 
allow Israel to set an agenda ahead of the Arab League summit, which 
is set to take place in Riyadh, Saudi Arabia at the end of this 
month.  "On the one hand, we must not agree to letting the 
Palestinians ignore the Quartet's conditions -- they must fight 
terror -- but on the other hand, Israel must begin a political 
initiative rather than being on the political defensive," Peretz was 
quoted as saying.  "The political freeze is working against it [the 
PA].  We must take the initiative into our own hands."  FM Tzipi 
Livni was quoted as saying that "Abbas has imposed upon himself 
restrictions concerning the formation of the Palestinian unity 
government that will make it very difficult to advance a diplomatic 
process." She added that these restrictions would reduce Abbas's 
ability to approve significant diplomatic steps.  Ha'aretz reported 
that the IDF supports Olmert's response to the new PA coalition. 
 
The Jerusalem Post wrote that Israel, which in recent months said it 
wanted to hold "political horizon" talks with Abbas, "reversed 
gears" on Sunday and declared that it would only talk to him about 
security or humanitarian issues. 
 
Ha'aretz quoted political sources in Jerusalem as saying on Sunday 
that Israel expects a certain amount of weakening in the 
international position on the new PA unity government.  However, the 
sources were quoted as saying: "The story is money, and they won't 
get it for the time being."  "Since the Americans and Europeans are 
maintaining the freeze on aid, and Israel isn't releasing the 
withheld Palestinian taxes, Hamas hasn't gained anything," the 
sources added.  Ha'aretz wrote that Israel hopes that the 
international community will continue boycotting the Palestinian 
government collectively, by withholding all economic aid.  "Overall, 
the diplomatic battle is being waged effectively," the sources were 
quoted as saying, praising Germany, which currently holds the EU 
presidency, for its efforts in formulating the European position. 
According to Ha'aretz, the sources dismissed Norway's decision to 
recognize the PA government and to offer it aid, saying that the 
amount of support will be inconsequential, and that Norway is 
conducting a foreign policy independent of the EU because it is not 
a member state.  The sources also expressed satisfaction with 
Abbas's decision not to appoint his senior associates as government 
ministers, thus allowing Israel to "maintain contacts with them." 
Yediot reported that today a senior European official will meet with 
Haniyeh. 
 
Ha'aretz reported that the Bush administration informed Israel in 
advance of its intention to maintain contacts with Fatah ministers 
in the unity government -- a decision that is primarily directed at 
Palestinian Finance Minister Salam Fayyad.  Ha'aretz wrote that the 
US has made it clear that while it will not resume provision of 
financial assistance to the PA, it has nonetheless decided not to 
cut ties with senior Fatah officials. U.S. officials said over the 
weekend that the American position on the PA government has not 
changed, and that the contacts with Fatah ministers should not be 
seen as a crack in the dam of the international boycott.   Ha'aretz 
noted that American spokesmen spent the weekend expressing their 
disappointment at the PA government's platform, saying that it 
clearly does not meet the Quartet's demands.  Nonetheless, Ha'aretz 
said that senior US officials maintain that the situation in the PA 
would not dictate a complete severance of ties, and that continuing 
contacts with moderates is essential for keeping open lines of 
communication.  Israel Radio quoted US National Security Advisor 
Stephen Hadley as saying in an interview with CNN that the US will 
not recognize the Palestinian unity government as long as it does 
not recognize Israel's right to exist and does not denounce terror. 
The radio quoted a senior GOI source as saying that Israel is 
pleased with Hadley's remarks. 
 
Israel Radio reported that the foreign ministers of Egypt, Jordan, 
Saudi Arabia, and the UAE, with whom Secretary of State Condoleezza 
Rice will meet in Aswan over the weekend, will ask her to pressure 
Israel into resuming diplomatic talks with the Palestinians.  The 
radio reported that Egyptian FM Ahmed Ali Abu al-Gheit told the 
Saudi newspaper Al-Watan that Israel should release Palestinian 
prisoners, and that IDF Cpl. Gilad Shalit should be freed as well. 
 
In its lead story, Maariv cited a disclosure by senior members of 
the Israeli defense establishment that the US is refusing 
operational coordination with Israel against Iran.  The daily cited 
Israel's belief that the chances of a US attack during President 
Bush's term are low.  Maariv said that Israel is focusing on 
diplomatic efforts to toughen sanctions against Iran. 
 
Ha'aretz reported that Syria has told the United Nations that it 
opposes a UN plan to deploy civilian monitors along its border with 
Lebanon in an effort to prevent weapons from being smuggled from 
Syria to Hizbullah.  On Sunday Maariv reported that, during last 
summer's war in Lebanon, French President Jacques Chirac suggested 
to Israel that it attack Syria.  On Sunday Maariv cited the Mossad's 
belief that Syria is bracing for war with Israel. 
 
On Sunday Ha'aretz reported that Israel and the US are conducting a 
joint military exercise whose main goal, according to military 
officials in both countries, is to hone the allies' abilities to 
fend off missiles equipped with nuclear, biological or chemical 
warheads.  This year's Juniper Cobras drill, in contrast to those in 
recent years, will not involve intercepting live missiles due to 
logistical constraints associated with last summer's Lebanon war and 
US deployments.  On Sunday Ha'aretz reported that the supreme 
commander of NATO operations in Europe and head of the US European 
Command (EUCOM), John Craddock, called Israel a "model state" and 
the United States' closest ally in the Middle East.  Craddock spoke 
before the US House Armed Services Committee in Washington on 
Thursday.  He was quoted as saying that Israel consistently and 
directly supported US interests by means of security cooperation and 
understanding US policy in the region.  He commended the stability 
of Israel's government and was quoted as saying that Israel was a 
model state that encouraged democratic ideals and pro-Western values 
and economics.  Craddock was also quoted as saying that Israel was 
the main beneficiary of US security aid funds and that it was a 
"critical military partner" in what he called "this entangled seam 
of the Middle East." 
 
Leading media reported that on Sunday five Qassam rockets were 
launched from the northern Gaza Strip towards Sderot and Ashkelon. 
The media reported that, fearing that small planes might become 
targets of Palestinian fire, the Transportation Ministry decided to 
ban crop-dusting on agricultural areas surrounding the Strip. 
 
All media reported that today the Ministerial Committee for Symbols 
and Ceremonies will decide today whether last summer's conflict in 
Lebanon will be officially defined as a war.  The media reported 
that on Sunday a second committee dealing with a name for the 
conflict held its first meeting. 
 
Leading media reported on Muhammad Dahlan's "comeback" in the PA. 
 
Yediot reported that, while Egyptian President Mubarak has tried to 
calm the waters on the issue of the alleged killing of Egyptian POWs 
in the Six-Day War, governmental newspapers in Egypt have been 
inflaming the spirits.  On Sunday Ha'aretz quoted Mubarak as saying, 
in Saturday's edition of the Egyptian newspaper Akhbar Al-Yawm, that 
his country will do whatever necessary to ensure that the 
perpetrators of any war crimes against Egyptian soldiers are 
punished. 
 
Yediot reported that Olmert told the cabinet on Sunday that he has 
decided to extend by one year the tenure of Mossad Director Meir 
Dagan. 
 
The Jerusalem Post reported that prominent liberal author A.B. 
Yehoshua told a gathering in New York City last week that 
criticizing Zionism has become a socially acceptable way to attack 
Jews. 
 
Yediot reported that Pensioners Affairs Minister Rafi Eitan 
suggested at Sunday's cabinet meeting that Israel set the interim 
borders of a Palestinian state and withdraw to the new border after 
evacuating around 20 settlements. 
 
Yediot reported that the Israeli company PAR Technologies (phon.) is 
developing a system that will allow the rearming in mid-air of 
warplanes with rockets and bombs.  Yediot wrote that Taiwan is 
considering buying an Israeli spy satellite -- the Eros.  The 
newspaper reported that the USD 300-million deal is expected to 
arouse a harsh response in China. 
 
Major media reported that linguist and left-wing peace activist 
Tanya Reinhardt unexpectedly died in New York on Saturday at age 
¶63. 
 
Leading media reported that the Histadrut labor federation might 
declare a general strike on Wednesday. 
 
Yediot presented the results of a Mina Zemach (Dahaf Institute) 
poll: Contrary to Sunday's cabinet decision, 56 percent of Israelis 
believe that Israel should talk with the new Palestinian government 
(39 percent unrestrictedly; 17 percent: only with the Fatah members 
of the government); 40 percent are opposed to such a dialogue; 4 
percent are undecided. 
 
Ha'aretz printed an AP wire report citing a new University of Haifa 
poll, which found that over a quarter of Israel's Arab citizens 
believe that the Holocaust never happened, and that nearly 
two-thirds of Israeli Jews avoid entering Israeli Arab towns. 
Yediot and Maariv reported that the poll found that 49.7 percent of 
Israeli Arabs justify the abduction of the two IDF soldiers by 
Hizbullah last July. 
 
-------- 
Mideast: 
-------- 
 
Summary: 
-------- 
 
The independent, left-leaning Ha'aretz editorialized: "The 
government of Israel can and should cooperate with the new 
Palestinian government." 
 
Chief Economic Editor Sever Plotker wrote in the editorial of the 
mass-circulation, pluralist Yediot Aharonot: "Israel has met with 
its greatest diplomatic defeat in the past generation.... [It must 
now launch] a direct political dialogue with the incumbent 
Palestinian government." 
 
Senior columnist and chief defense commentator Zeev Schiff wrote on 
page one of Ha'aretz: "This could be an opportunity to begin a 
process of de-escalation ... after which Hamas, under Palestinian 
public pressure, will choose to compromise with Israel." 
 
The conservative, independent Jerusalem Post editorialized: "Why 
would Norway and perhaps France, in the interest of peace, join Iran 
in aiding Hamas directly?" 
 
Columnist and former IDF Intelligence chief Shlomo Gazit wrote in 
the popular, pluralist Maariv: "I call on the Royal House of Saud 
[and] the heads of [Arab] states ... follow the path that was taken 
by Egyptian President Anwar Sadat 30 years ago." 
 
Former foreign minister Shlomo Ben-Ami wrote in Ha'aretz: "The Arabs 
will place the Saudi initiative on the negotiating table and the 
Israelis will come with the Clinton plan.  The final agreement lies 
in the space between them." 
 
Block Quotes: 
------------- 
 
¶I.  "Judged By Its Actions" 
 
The independent, left-leaning Ha'aretz editorialized (3/19): "The 
government of Israel can and should cooperate with the new 
Palestinian government.... The demand for recognition and for a 
cessation of the violence is a legitimate one, but declarations are 
less important than actions on the ground. The trips abroad by 
Foreign Minister Tzipi Livni and Prime Minister Ehud Olmert, seeking 
partners for the continued boycott, apparently will be of no help. 
Governments weigh their independent interests, and in the face of 
the Saudi initiative which pledges to lower the level of heat in the 
Middle East, it is difficult to persuade the world to keep 
blacklisting the Haniyeh-Abbas government.  The Palestinian unity 
government deserves a chance, and its very establishment is a 
positive sign, even if its platform is far from satisfactory as far 
as Israel is concerned.  The massive weaponry in Gaza the Shin Bet 
has reported seeing may give rise to hesitations, but such weaponry 
is also present in Israel, and across the border in Syria, Lebanon 
and Egypt.  Israel must do its best to ensure that no weapon will be 
used, and the way to achieve this is through dialogue.  Even a 
cease-fire of many years' duration, as Hamas proposes, is a better 
offer than an ongoing war, for which we must always be prepared." 
 
II.  "The Hamas Option" 
 
Chief Economic Editor Sever Plotker wrote in the editorial of the 
mass-circulation, pluralist Yediot Aharonot (3/19): "In complete 
contrast to the hopes of 'political officials in Jerusalem' and the 
forecasts of 'national intelligence assessment agencies,' the 
Palestinian national unity government is now an established fact. 
Upon its formation, Israel has met with its greatest diplomatic 
defeat in the past generation.... What next?  What does Israel 
intend to do?  One option is continue the current line: To give 
passionate speeches, pass more government resolutions for boycotting 
the Palestinian Authority -- and mainly to pray.... The inevitable 
outcome of adopting this option: Overwhelming international 
recognition of Hamas as the sole legitimate representative of the 
Palestinian people, and pushing Israel into a corner.... [But] now, 
after Israel has agreed to a cease-fire in Gaza without returning 
Gilad Shalit home, and after Abu Mazen has forged a loving alliance 
with Hamas, the military option is off the table.  What remains is 
the third path, which is the only realistic course of action now: 
Launching a direct political dialogue with the incumbent Palestinian 
government.  Briefly and simply: Negotiations with Hamas.... Not 
because we love Hamas, but because this is the only way we can 
regain the initiative and justify our positions.  This is a very 
difficult option, but it is preferable to the other ones.  'DonQt be 
deceived,' appealed Olmert yesterday to the nations of the world. 
This is a correct appeal, but bears no solution: We cannot be 
hostages to the moods of the Western state leaders.'" 
 
III.  "Good For Hamas -- and For Israel" 
 
Senior columnist and chief defense commentator Zeev Schiff wrote on 
page one of Ha'aretz (3/19): "Should Israel accept the cease-fire 
(hudna) offer -- short or long-term -- which will certainly come 
from Hamas and the Palestinian Authority unity government?  On the 
basis of military logic the answer should be no, because this path 
will allow Hamas to become more established and increase its 
military strength through arms smuggling, including to the West 
Bank.  The political logic, on the other hand, says this could be an 
opportunity to begin a process of de-escalation, of ending violence 
and bloodshed, after which Hamas, under Palestinian public pressure, 
will choose to compromise with Israel.... The cease-fire offer could 
also be presented to the Israeli government by foreign countries 
such as Egypt or Saudi Arabia, and Israel would have a hard time 
rejecting it outright without presenting its demands." 
 
IV.  "No Aid to Terror" 
 
The conservative, independent Jerusalem Post editorialized (3/19): 
"The Abbas-controlled Palestinian media continues to broadcast 
incitement to hatred of Israel, in violation of the Oslo Accords and 
numerous subsequent commitments.  Does anyone expect Hamas to put a 
stop to this?  It is also obvious that Hamas does not recognize 
Israel's right to exist.  Indeed, Hamas and its jihadi allies in 
Hizbullah and Iran openly claim that they are closer to their dream 
of destroying Israel than they ever were. No vague statement about 
past agreements changes this.  Finally, far from renouncing 
terrorism, Hamas -- again with characteristic openness -- continues 
to support 'all forms of resistance'.... Hamas's actions speak even 
louder than its words, which also leave little to the imagination. 
Accordingly, the reasons the Quartet cut off relations with the PA 
in the wake of the formation of the first Hamas-led government are 
as valid as ever.  Indeed, Western assistance to the PA should have 
been cut off long before that election, for the simple reason that 
the PA, even under Chairman Mahmoud Abbas, would not lift a finger 
to stop terror attacks against Israel.  The international community 
cannot have it both ways.  It cannot say it wants terrorism against 
Israel to stop, while opening ties with and bankrolling a PA that is 
preparing to launch the next terror war.... Why would Norway and 
perhaps France, in the interest of peace, join Iran in aiding Hamas 
directly?  To call this unserious is to be charitable.  The Quartet 
certainly should not follow suit, and should instead tighten 
sanctions against the PA if it wants to work to stop the countdown 
to the next war." 
 
¶V.  "Following in Sadat's Footsteps" 
 
Columnist and former IDF Intelligence chief Shlomo Gazit wrote in 
the popular, pluralist Maariv (3/19): "Greetings Prince Bandar bin 
Sultan.  In another week the Arab League is scheduled to meet in 
Riyadh, where it is to formulate and reconfirm the Saudi initiative 
as the outline for a full and comprehensive peace between Israel and 
its Arab neighbors -- a peace accord that will bring about an end to 
this 60-year-old conflict.  I appeal to you as an Israeli who is a 
member of the Israeli peace camp -- an Israeli who believes that 
there is an Arab 'partner' for negotiations and an agreement, and 
that the gaps between the Arab position and the Israeli position are 
bridgeable.... I call on the Royal House of Saud, the heads of 
states and on you personally -- follow the path that was taken by 
Egyptian President Anwar Sadat 30 years ago.  Let us not make the 
beginning of negotiations contingent upon decisions that Ehud Olmert 
makes.  Things are too important and we mustnQt squander the 
opportunity.... I appeal to you and ask -- immediately after the end 
of the conference in Riyadh, announce publicly that you too would 
like to come to Jerusalem, and that you intend to present to the 
people in Israel and the government in Jerusalem the decisions that 
were made at the summit meeting, and that you want to discuss 
immediately how to begin negotiations at once.  No government in 
Israel will be able to reject that kind of initiative.  No 
government will be able to evade the peace process. The weakness of 
the coalition in the Knesset will fail to withstand the pressure and 
the unequivocal call from the masses, who will welcome you with 
flowers." 
 
 
VI.  "Back to the Clinton Plan" 
 
Former foreign minister Shlomo Ben-Ami wrote in Ha'aretz (3/19): "If 
negotiations and amendments do become a reality, it will quickly 
become clear that what the country's present leaders are aiming for 
is actually the Clinton plan.  That is their last line of defense. 
The stone which the builders rejected has become the chief 
cornerstone.... There is thus no need to reinvent the wheel, and it 
would not detract from the government's honor were it to use the 
efforts of its predecessors as the foundation for its entry into 
historical record.  The Arabs will place the Saudi initiative on the 
negotiating table and the Israelis will come with the Clinton plan. 
The final agreement lies in the space between them.... Never since 
the beginning of Zionist aliyah [immigration] has the Arab world -- 
which is so fearful of an Islamic fundamentalist tsunami -- been so 
ready to reach an arrangement with the Jewish state.  As we have 
said, however, it is not enough for the conditions to be ripe. 
Without straightforward, far-sighted leadership that can tell the 
people the plain home truths, this window of opportunity, too, will 
turn into just another tragic missed opportunity." 
 
JONES