VZCZCXYZ0001
PP RUEHWEB

DE RUEHTV #0691/01 0851025
ZNR UUUUU ZZH
P 251025Z MAR 08
FM AMEMBASSY TEL AVIV
TO RUEHC/SECSTATE WASHDC PRIORITY 5990
RHEHAAA/WHITE HOUSE WASHDC PRIORITY
RHEHNSC/WHITE HOUSE NSC WASHDC PRIORITY
RUEAIIA/CIA WASHDC PRIORITY
RUEKJCS/SECDEF WASHDC PRIORITY
RUEAHQA/HQ USAF WASHINGTON DC PRIORITY
RUEADWD/DA WASHDC PRIORITY
RHMFIUU/CNO WASHINGTON DC PRIORITY
RHEFDIA/DIA WASHINGTON DC PRIORITY
RUEKJCS/JOINT STAFF WASHDC PRIORITY
RUEHAD/AMEMBASSY ABU DHABI PRIORITY 3590
RUEHAS/AMEMBASSY ALGIERS PRIORITY 0234
RUEHAM/AMEMBASSY AMMAN PRIORITY 3848
RUEHAK/AMEMBASSY ANKARA PRIORITY 4395
RUEHLB/AMEMBASSY BEIRUT PRIORITY 3605
RUEHEG/AMEMBASSY CAIRO PRIORITY 1856
RUEHDM/AMEMBASSY DAMASCUS PRIORITY 4351
RUEHLO/AMEMBASSY LONDON PRIORITY 1227
RUEHFR/AMEMBASSY PARIS PRIORITY 1673
RUEHRB/AMEMBASSY RABAT PRIORITY 8221
RUEHRO/AMEMBASSY ROME PRIORITY 5701
RUEHRH/AMEMBASSY RIYADH PRIORITY 0607
RUEHTU/AMEMBASSY TUNIS PRIORITY 4731
RUCNDT/USMISSION USUN NEW YORK PRIORITY 6680
RUEHJM/AMCONSUL JERUSALEM PRIORITY 9397
RHMFISS/CDR USCENTCOM MACDILL AFB FL PRIORITY
RHMFISS/COMSOCEUR VAIHINGEN GE PRIORITY
RHMFIUU/COMSIXTHFLT  PRIORITY

UNCLAS TEL AVIV 000691 
 
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: 
-------------------------------- 
 
¶1.  Mideast 
 
¶2.  U.S.-Israel Relations 
 
------------------------- 
Key stories in the media: 
------------------------- 
 
The Jerusalem Post reported that Vice President Dick Cheney's second 
meeting with PM Ehud Olmert on Monday morning, like their first 
meeting on Saturday night, was shrouded in mystery, leading to 
speculation among diplomatic officials that the focus was on 
stopping Iran's nuclear program. 
 
Electronic media quoted Defense Minister Ehud Barak as saying this 
morning during a visit to an army base that the security 
establishment is considering relief measures for the Palestinians. 
He was quoted as saying: "It is obvious to everyone that in order to 
help the atmosphere of the talks with the Palestinians, we must do 
everything, where it does not compromise security, to try, even with 
a calculated risk, to institute relief measures."  Israel Radio 
reported that Barak has allowed 600 Palestinian police to train in 
Jordan.  They will eventually be posted in Jenin. 
 
All media quoted the police as saying that an IDF non-commissioned 
officer (from the standing army) is suspected of providing sensitive 
security information on IDF troop movements along the Lebanese 
border to elements associated with Hizbullah. The NCO was arrested 
along with two Israeli Arabs who headed a drug smuggling ring. 
Yediot quoted defense officials as saying after the affair was made 
public that Hizbullah Secretary-General Sheikh Hassan Nasrallah 
plots to flood Israel with drugs.  All media reported that on Monday 
Nasrallah promised to hit Israel "at the time and place of our 
choosing."  The media noted that contrary to his pledge a few days, 
Nasrallah failed to provide evidence that Israel was behind the 
assassination of Imad Mughniyah.  The Jerusalem Post cited 
assessments in Jerusalem that Syria's reticence in blaming Israel 
for killing Mughniyah, despite Hizbullah's claims of having "100% 
proof" that Israel was involved, indicates that there is some 
friction between Syria and Hizbullah.  Makor Rishon-Hatzofe quoted 
Defense Minister Barak as saying that Hizbullah's threats must be 
taken seriously. 
 
Ha'aretz reported that Israeli defense officials suggested on Monday 
that Hamas is interested in maintaining the lull in fighting against 
the IDF along the Gaza border. Likewise, Egypt is keeping up heavy 
pressure on Hamas leaders in Gaza not to deviate from the 
understandings reached with it regarding the suspension of fighting. 
 Ha'aretz quoted Defense Minister Ehud Barak as saying on Monday 
that if the rocket fire from the Strip and arms smuggling cease, 
"The door to another reality will open," but he added that "we are 
still far" from that reality.  Barak added that Israel will not 
negotiate with Hamas, "except for indirect talks regarding kidnapped 
soldier Gilad Shalit."  Ha'aretz reported that on Sunday Egypt 
released 33 Hamas operatives who were arrested in Sinai after the 
Rafah border fence was breached in late January.  Ha'aretz wrote 
that this is a significant gesture by Cairo, evidently intended to 
"bolster" the lull.  Ha'aretz reported that IDF sources confirmed 
that Hamas is also refraining at this time from supplying rockets to 
other Palestinian factions.  Ha'aretz reported that Israeli defense 
sources told the newspaper that the lull should not be viewed as an 
agreement between Israel and Hamas.  They were quoted as saying that 
Egypt was motivated to reach understandings with Hamas for interests 
of its own and out of fear the violence would spill over into its 
territory.  Israel merely "hitched a ride on an arrangement already 
reached between Hamas and Cairo," the sources said.   However, 
Ha'aretz reported that senior military commanders indicated this 
week that the lull is expected to be temporary, because Egypt will 
have a hard time securing an overall agreement due to the massive 
distance between the sides.   Ha'aretz reported that the head of the 
Defense Ministry's Diplomatic-Security Bureau, Amos Gilad, who is in 
charge of the talks with Cairo, has been instructed to take a tough 
negotiating line with Egypt. 
 
The media reported that on Monday there was an increase in the 
number of incidents along the Gaza border.  At least one rocket and 
several mortar shells were fired at the western Negev, and IDF 
troops were fired on near the perimeter fence.  There were no 
casualties. 
 
The Jerusalem Post and Israel Radio reported that Russia and Egypt 
are expected to sign a civilian nuclear cooperation treaty this week 
that will boost Cairo's efforts to join a string of Sunni countries 
keen on developing nuclear potential and that government officials 
in Jerusalem believe it is intended to counter Iran's nuclear 
program.  The Jerusalem Post quoted a GOI source as saying that 
Jerusalem would have no public or formal comment on the deal, and 
that in principle Israel had no objection to Egypt's acquiring 
nuclear technology as long as Egypt was a member of the 
Non-Proliferation Treaty, which it is, and as long as it would be 
under ironclad supervision and regulations of the IAEA.  Israel 
Radio also reported that the U.S. and Bahrain have signed a civilian 
nuclear cooperation agreement.  Maariv reported that this week the 
UAE announced it was launching a civilian nuclear program. 
 
All media reported that on Monday Bank of Israel Governor Stanley 
Fischer cut the prime interest rate by 0.5%.  It now is 3.25%, the 
lowest rate in Israeli history.  The move followed last week's 
announcement by Fischer that the Bank of Israel would purchase $10 
billion in the next two years in order to strengthen the dollar 
against the shekel. 
 
Maariv and other media highlighted tension between Defense Minister 
and Labor Party Chairman Ehud Barak and the party's former leader, 
Amir Peretz.   Maariv bannered: "Labor on Verge of Splitting." 
 
All media reported that on Monday the Knesset approved a law 
intended to regulate organ donations in compliance with Jewish law. 
The bill was passed with the support of the ultra-Orthodox Shas 
party.  Reflecting the views of the United Torah Judaism party, the 
ultra-Orthodox Hamodi'a, strongly protested against the law. 
 
Ha'aretz reported that Arab sources told the newspaper on Monday 
that the leaders of at least 12 countries will not attend the Arab 
League summit in Damascus.  Israel Radio reported that Arab League 
Secretary-General Amr Moussa is prodding Lebanon to take part. 
 
SIPDIS 
 
Tesfamariam Tekeste, the Eritrean Ambassador to Israel, was quoted 
as saying on Monday in an interview with Ha'aretz that Israeli must 
repatriate Eritrean "deserters."  Ha'aretz quoted an Eritrean 
refugee as saying that the Eritrean government does "monstrous 
things." 
 
Major media reported that in an audiotape released on Monday 
Al-Qaida deputy leader Ayman al-Zawahiri called on Muslims to strike 
Jewish and American targets in revenge for Israel's offensive in 
Gaza earlier this month. 
 
Nibal Thawabteh, the Editor-in-Chief of the Palestinian monthly Al 
Hal (The Situation), whom Secretary of State Condoleezza Rice named 
one of eight International Women of Courage, was quoted as saying in 
an interview with The Jerusalem Post in Washington that she receives 
the prize "for all the courageous Palestinian women" and that her 
publication is "different from the newspapers of Palestine, because 
it is critical [and] courageous."  Regarding the Israeli-Palestinian 
conflict, she was quoted as saying: "One day we will hopefully 
finish this conflict, because we've paid a lot." 
 
Makor Rishon-Hatzofe cited the concern of many politicians in the 
Arab world over the candidacy of Senator John McCain for president. 
 
Last night Channel 10-TV quoted air marshals employed in Israeli 
airlines as saying that their working conditions, including their 
salaries, are very poor, and that their presence on planes might not 
prevent hijackings. 
 
Ha'aretz quoted political sources familiar with the Jonathan Pollard 
affair as saying that Israel has no knowledge of plans to release 
him from prison in the U.S., where he is serving a life sentence for 
spying on Israel's behalf.  The comments came in response to 
statements by Pensioner Affairs Minister Rafi Eitan, who had been 
Pollard's handler, in an interview last night with the Knesset TV 
Channel.  Eitan said that Pollard will be released soon.  In 
response to a query by Ha'aretz, Eitan, who emphasized that his 
words were based on an "intuition," expressed his hope that 
President Bush will pardon Pollard on the occasion of Israel's 60th 
anniversary. 
 
 
------------ 
¶1.  Mideast: 
------------ 
 
Summary: 
-------- 
 
Columnist Eitan Livne wrote in the independent Israel Hayom: "With 
the current state of domestic Lebanese and international politics, 
Nasrallah does not want to get into trouble with Lebanese army and 
the international forces, which could impact his freedom of 
movement.  The Lebanese public would not forgive him for a new 
adventure." 
 
Gershon Baskin, Co-Director of the Israel/Palestine Center for 
Research and Information (IPCRI), wrote in the conservative, 
independent Jerusalem Post: "The use of the word 'normal' is quite 
intentional by the authors [of the Arab Peace Initiative] who 
understood the deep transformation of Arab positions that 'normal' 
relations intended to indicate." 
Senior columnist and longtime dove Yoel Marcus wrote in the 
independent, left-leaning Ha'aretz: "Given Syria's current state of 
isolation, with its Arab brothers in a huff and a boycott imposed on 
it by America, the time is ripe for Israel to invite it to join the 
good guys and urge the Bush administration, or the next one in line, 
to support an initiative for dialogue between the two countries." 
 
Former ambassador to Egypt and Sweden, contributor Zvi Mazel wrote 
on page one of The Jerusalem Post: "The present steps [taken by 
Egypt to advance its civilian nuclear program] might be seen as a 
means of letting the U.S. know that it should not push Egypt too 
far." 
 
Block Quotes: 
------------- 
 
¶I.  "The Joke Is on Nasrallah" 
 
Columnist Eitan Livne wrote in the independent Israel Hayom (3/25): 
" Nasrallah is dying to avenge [Imad] Mughniyah's death, but he's in 
a trap.  Any large-scale action could come flying back in his face 
like a boomerang.  With the current state of domestic Lebanese and 
international politics, Nasrallah does not want to get into trouble 
with Lebanese army and the international forces, which could impact 
his freedom of movement.  The Lebanese public would not forgive him 
for a new adventure.... A terrorist attack overseas poses problems 
as well.  After all, the person who was responsible for that kind of 
activity was Mughniyah.  And what would a terror attack do to 
Hizbullah's public image -- an organization that has political 
aspirations?  Furthermore, the Arab League summit meeting is about 
to be held in Damascus, and it is in everyone's interest that the 
central subject on the table be the Palestinians and not the 
Lebanese.   Until Hizbullah is able to find a way to take revenge 
without having to suffer unduly, Nasrallah takes comfort in the 
panic that has gripped Israel.  That too is a form of revenge." 
 
II.  "A Long Way from the Three Noes" 
 
Gershon Baskin, Co-Director of the Israel/Palestine Center for 
Research and Information (IPCRI), wrote in the conservative, 
independent Jerusalem Post (3/25): "The Arab Peace Initiative offers 
Israel, in return to meeting the demands, full peace and 'normal' 
relations with all 22 Arab countries.  The use of the word 'normal' 
is quite intentional by the authors who understood the deep 
transformation of Arab positions that 'normal' relations intended to 
indicate.... There is talk in the Arab world that because Israel has 
not responded positively to the Arab plan - on the table since March 
2002 -- that the time has come to withdraw the offer.  Is that the 
achievement that Israel would like to take credit for?  It seems to 
me that the primary strategic objective of the Olmert government is 
to reach a framework agreement on permanent status with the 
Palestinian leader Mahmoud Abbas.  At the same time, perhaps Olmert 
should accept the Syrian offer to renew negotiations and to continue 
the process until full agreement is reached.  The issue of the Sheba 
farms, over which Israel has no claims of sovereignty, should be 
discharged to the United Nations with an Israeli demand that its 
security concerns be addressed before Israeli troops leave the area. 
 Undertaking all of these steps would provide the Arab world with 
hard evidence that Israel was in fact implementing all of the 
demands of the Arab Peace Initiative and now the challenge would be 
referred back to the Arab League to begin to start planning for 
establishment of diplomatic and normal relations with Israel instead 
of planning to withdraw the offer of full and comprehensive peace in 
the region." 
 
 
 
 
III.  "Go to Damascus" 
 
Senior columnist and longtime dove Yoel Marcus wrote in the 
independent, left-leaning Ha'aretz (3/25): "[The Palestinian] 
leaders are divided into goodies and baddies.  The goodies are 
prepared to talk to us about a peace agreement, but they are too 
weak to reach any kind of accord in the name of the Palestinian 
people.  The baddies just want us dead.  Toward that end, they are 
linked up to the axis of evil -- to Iran, Hizbullah and all the 
countries and groups that embrace raging Islamic fundamentalism. 
Under the circumstances, we have two options: We can sit and twiddle 
our thumbs, which means wasting precious time, or we can launch a 
new political initiative -- talks with Syria.  Now, as countries in 
this region are growing weaker, and the terror organizations are 
growing stronger and working toward the delegitimization of Israel 
as a state that has no right to exist, it is vital to cut Syria's 
links with Iran, Hizbullah and the terrorist groups it is 
harboring.... Given Syria's current state of isolation, with its 
Arab brothers in a huff and a boycott imposed on it by America, the 
time is ripe for Israel to invite it to join the good guys and urge 
the Bush administration, or the next one in line, to support an 
initiative for dialogue between the two countries.... An agreement 
with Syria would strategically change the picture in this region: It 
would isolate Iran, neutralize the headquarters of the terrorist 
organizations and strengthen the moderate Islamic regimes.  Unlike 
the Palestinian leadership at the moment, the Syrians, in their bid 
for international acceptance, are capable of delivering the goods. 
But only if Israel realizes that secure and recognized borders come 
with a price tag, a hefty one, but worth it for peace -- the Golan 
Heights." 
 
IV.  "Cairo Climbs the Nuclear Pyramid" 
 
Former ambassador to Egypt and Sweden, contributor Zvi Mazel wrote 
on page one of The Jerusalem Post (3/25): "The announcement that 
Egypt is going to cooperate with Russia to develop its nuclear 
energy program should not come as a surprise.  After all, the Soviet 
Union was the first country to start cooperation with Egypt in this 
field in 1961, when it built its first two-megawatt nuclear center 
for research in the town of Inchass.  That is where Egypt began to 
acquire knowledge and expertise in the field of nuclear technology 
and to train its first nuclear technicians.... The driving force 
behind [the 2006] decision [to restart the nuclear program for 
peaceful purposes] was the ongoing crisis with Iran.... Sunni Egypt 
was compelled to enter the field to counterbalance Shi'ite Iran's 
growing threat to the international community and to the Middle 
East.... Turning its back on America, which sends billions of 
dollars in aid each year and cooperates with Egypt in a number of 
projects, might lead to a crisis in the relations between the two 
countries.  The present steps, however, might be seen as a means of 
letting the U.S. know that it should not push Egypt too far." 
 
-------------------------- 
¶2.  U.S.-Israel Relations: 
-------------------------- 
 
Summary: 
-------- 
 
Veteran journalist Hemmi Shalev wrote in the independent Israel 
Hayom: "It is absolutely uncertain whether [Obama' election] would 
be good for the Jews." 
 
Block Quotes: 
------------- 
 
"America's Black Past" 
 
Veteran journalist Hemmi Shalev wrote in the independent Israel 
Hayom (3/25): " One must admit that [Obama's] election would fill 
the ancient Chinese curse -- 'May you live in interesting times.' 
This would certainly be good for the media, perhaps also for the 
Americans, but it is absolutely uncertain whether it would be good 
for the Jews." 
 
JONES