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P 211018Z MAY 08
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UNCLAS TEL AVIV 001070 
 
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: 
------------------------- 
 
Leading electronic media reported that today Israeli and Syrian 
representatives announced in Jerusalem, Damascus, and Ankara that 
their countries were engaged in indirect peace negotiations under 
the auspices of Turkey.  Maariv reported that over the past few days 
PM Olmert's diplomatic advisor Shalom Turgeman had held a "secret 
meeting" on the Syrian track in Damascus.  Speaking on Israel Radio, 
Labor Knesset Member and previous Mossad head Danny Yatom accused 
Olmert of coming out with the announcement because of his legal 
entanglement. 
 
Reporting that Syria has prevented IAEA inspection of two suspected 
nuclear sites, Yediot bannered: "What Is Assad Hiding from the 
Nuclear Inspectors?"  The Jerusalem Post reported that Israel is 
closely following meetings being held in Moscow this week between a 
high-level Syrian military delegation and Russian Defense Ministry 
officials. According to reports in the Russian media, the talks will 
focus on arms sales -- including submarines, anti-aircraft missiles, 
the latest model MiG 
fighter jets, and advanced surface-to-surface ballistic missiles. 
 
Israel Radio quoted a senior GOI source as saying that Israel has 
not yet responded to the Egypt-mediated cease-fire offer.  The radio 
said that the remark came in response to comments by a senior 
Egyptian official yesterday that Israel had accepted the deal in 
principle.  Ha'aretz reported that Egypt is still trying to commit 
smaller Palestinian factions to the tahdiya (truce). 
 
Ha'aretz reported that PM Ehud Olmert proposed in discussions on 
Monday with House Speaker Nancy Pelosi that a naval blockade be 
imposed on Iran to pressure it into stopping its uranium enrichment 
program.  Ha'aretz reported that although the White House denied a 
published report that President Bush intends to attack Iran before 
the end of his term in January, the Bush administration is said not 
to have ruled out military action against Iran's nuclear facilities. 
 Ha'aretz cited a story in The Jerusalem Post quoting an 
unidentified official as claiming that a "senior member" of Bush's 
entourage to Israel last week made the statement about attacking 
Iran in a closed meeting.  However, Ha'aretz quoted White House 
Press Secretary Dana Perino as saying that the article is "not worth 
the paper it's written on."  She added that the administration's 
preference and actions for dealing with Iran remain through peaceful 
diplomatic means.  Ha'aretz said that Israelis who spoke to Bush and 
his entourage while they were in Israel last week said they had the 
impression that the military option "is on the table," and that the 
president felt a sense of deep obligation to take care of Iran. 
 
The media reported that yesterday the High Court of Justice rejected 
PM Olmert's and his former senior aide Shula Zaken's petition 
against the deposition of Olmert's alleged briber, American 
millionaire Morris Talansky, ruling that the Jerusalem District 
Court's decision to hear prior testimony from Talansky was sound. 
Ha'aretz reported that today Olmert and Zaken will continue to try 
to delay Talansky's deposition. Maariv and other media quoted 
Talansky as saying that he had given Olmert money that was used for 
other purposes than for Olmert's election needs.  Media quoted New 
York Assemblyman Dov Hikind as saying that he saw then Jerusalem 
mayor Olmert take an envelope full of cash following a Brooklyn 
fundraiser for the New Jerusalem Foundation in the 1990s.  The 
Jerusalem Post quoted a senior former law enforcement official as 
saying yesterday that police do not accept Olmert's explanation for 
where the money went.  Leading media reported that the gag order on 
Olmert's investigation will expire today.    Maariv reported that 
the succession struggle within Kadima is intensifying and quoted 
Transportation Minister Shaul Mofaz as saying during a close meeting 
with Kadima activists: "What has FM Livni done, except talking with 
some foreign ministers?"  The Jerusalem Post and Israel Radio 
reported that Kadima and Labor officials are considering Vice PM 
Haim Ramon for the post of acting PM. 
 
Makor Rishon-Hatzofe and Israel Radio reported that the heads of 
local councils in the western Negev have written Olmert, demanding 
that he remove the threat of rockets from their area. 
 
Ha'aretz reported that in a reversal of its previous decision, the 
Defense Ministry has decided to bring the Phalanx air defense system 
from the U.S. to Israel in order to examine whether it can be used 
to counter Qassam rocket and mortar attacks from Gaza.  Defense 
Minister Director General Pinhas Buchris made the decision despite 
opposition from several senior ministry officials, according to a 
number of sources. Ha'aretz has learned that several weeks ago, 
 
Buchris contacted the relevant authorities in the U.S. and requested 
one Phalanx system so that its performance could be tested.  The 
U.S. approved the request.  However, it is not clear when the system 
is due to arrive in Israel. 
 
Ha'aretz and other media quoted Palestinian doctors and Hamas as 
saying that a 13-year-old boy, an unidentified man, and a Hamas 
militant were killed in at least three Israel Air Force strikes on 
targets in the Gaza Strip yesterday.  The media reported that at 
least three Qassam rockets and several mortar shells were fire into 
Israel yesterday. 
 
A Ha'aretz reporter (Avi Issacharoff) visited the Jenin area with 
Palestinian forces and found that the military and police forces 
deployed in the area in recent weeks have succeeded in restoring law 
and order to what had been viewed as an uncontrollable district. 
More importantly, they also seem to be having a great amount of 
success in dismantling of what Israelis call "terror 
infrastructures."  Issacharoff noted that Israeli defense officials 
generally respond dismissively to questions about that capabilities 
of the PA's preventive forces. 
 
The Jerusalem Post quoted diplomatic officials as saying yesterday 
that Israel is expected to air complaints on UNIFIL's performance in 
Lebanon with French FM Bernard Kouchner in Jerusalem this week. 
 
Maariv reported that the settler construction company Amana has made 
residents of the Eshal outpost (in the southern Hebron hills) sign a 
clause obligating them to leave their property should the state 
demand it.  The newspaper quoted the residents as saying that the 
demand contradicts their values.  Amana's legal advisor was quoted 
as saying that the clause is meant to protect the firm from claims 
by settlers.  The Jerusalem Post reported that yesterday a 
Palestinian woman whose land has been seized by Jewish settlers from 
the unauthorized outpost of Shvut Ami 11 times in the past eight 
months petitioned the High Court of Justice, demanding that security 
force evict the trespassers and establish a permanent presence to 
protect the property. 
 
Globes and Maariv cited the wonderment of former visiting vice 
president Al Gore about the fact that Israel does not make use of 
solar energy, despite its being the "land of the sun."  The 
Jerusalem Post reported that yesterday at Tel Aviv University 
conference, Gore called on Israel to play a leading role in 
renewable energy. 
 
Ha'aretz cited a Reuters news report quoting the state-run Egyptian 
Middle East News Agency (MENA) as saying that Prime Minister Ahmed 
Mohamed Nazif said yesterday that Egypt has told Israel it wants to 
raise the price of the natural gas it exports to the country. 
Natural gas from Egypt began flowing to Israel through a pipeline 
for the first time in May. 
 
Ha'aretz cited Bank of Israel data showing that the Israeli public's 
portfolio of financial assets shrank by 77.4 billion shekels (around 
$23 billion) in March 2008, losing 3.9% of its value to 1.996 
trillion shekels (around $590 billion), mainly because of the 
turmoil on the financial markets.  However, the main reason is that 
Israeli stocks held by the general public tumbled during March. 
Foreign stocks held by Israelis generally maintained their value 
that month, staying put at about 62.5 billion shekels (around $18.5 
billion). 
 
Over the past few days the media have reflected the Israeli public's 
considerable interest in tonight's Champions League Final soccer 
game between the English clubs Chelsea and Manchester United in 
Moscow.  Avram Grant, Chelsea's Israeli coach, was appointed by 
Chelsea's owner, Jewish Russian billionaire Roman Abramovich last 
summer. 
 
 
 
 
 
 
 
 
------------ 
¶1.  Mideast: 
------------ 
 
Summary: 
-------- 
 
Senior op-ed writer Akiva Eldar commented in the independent, 
left-leaning Ha'aretz: "It's a shame that the Olmert government is 
being dragged into the tahdiya as though seized by the devil, 
instead of being seen as the one dictating the conditions.... A 
leader who behaves as if there is no tomorrow has to go home -- 
today." 
 
Arab affairs correspondent Smadar Perry wrote in the 
mass-circulation, pluralist Yediot Aharonot: "If the deal involving 
Gilad Shalit's release is at last carried out, Prime Minister Olmert 
will reap its fruits.... Mubarak will gain points in the White 
House." 
 
Diplomatic correspondent Herb Keinon wrote in the conservative, 
independent Jerusalem Post: "Painstakingly ... [Ehud Barak] is 
trying to resurrect his stature in the eyes of the public as a 
diplomat, and not only a general." 
 
Block Quotes: 
------------- 
 
¶I.  "If There's No Tomorrow, Let Him Go Home Today" 
 
Senior op-ed writer Akiva Eldar commented in the independent, 
left-leaning Ha'aretz (5/21): "The indirect negotiations with Hamas 
for a tahdiya [lull] agreement are a necessity that should not be 
condemned.... It's a shame that the Olmert government is being 
dragged into the tahdiya as though seized by the devil, instead of 
being seen as the one dictating the conditions.  In this way, it is 
bestowing on Hamas additional public opinion points, just when the 
organization was losing its popularity in the wake of the prolonged 
siege.... Instead of attacking France and others trying to promote 
an agreement with Hamas, the decision makers in Israel would do 
better to use every means possible to strengthen Fatah.  The most 
effective means is, of course, accelerated achievement toward a 
final-status solution that will end the occupation.  In the Prime 
Minister's situation, he does not have the power to force the 
evacuation of even a single outpost and the removal of checkpoints. 
But a leader who behaves as if there is no tomorrow has to go home 
-- today." 
 
II.  "Untying the Gaza Knot" 
 
Arab affairs correspondent Smadar Perry wrote in the 
mass-circulation, pluralist Yediot Aharonot (5/21): "[As they are 
preventing Abbas from getting loose of their grip, Israel and Egypt] 
are holding hands in a vital struggle against a joint enemy abhorred 
by both sides -- Hamas.... If the deal involving Gilad Shalit's 
release is at last carried out, Prime Minister Olmert will reap its 
fruits.  Mubarak will wait for Olmert in Egypt to sign the deal; 
Olmert will get a time-out; and Mubarak will gain points in the 
White House.  A miracle may take place: Gilad Shalit would return 
home earlier, in the Prime Minister's plane." 
III.  "The Slow Repackaging of the Diplomat Ehud Barak" 
 
Diplomatic correspondent Herb Keinon wrote in the conservative, 
independent Jerusalem Post (5/21): "Painstakingly -- meeting after 
meeting with the Rices and Pelosis and Kouchners and Moratinos of 
the world -- [Ehud Barak] is trying to resurrect his stature in the 
eyes of the public as a diplomat, and not only a general.   Another 
sign of this new direction is that the statements to the press on 
Barak's various meetings -- while still far from overly instructive 
-- are not as painfully anemic as previously.... 'The Defense 
Minister reiterated his position that Israel is committed to the 
concept of 'two states for two peoples,' and that it is interested 
in progressing in the process with the Palestinians, despite the 
gaps that exists on the core issues,' [Barak's] statement [during 
his visit to Sharm el-Sheikh this week] read. 'This progress 
obligates "painful concessions" also on the Palestinian side.' 
Those sounded like the words of one entrusted with the nation's 
diplomatic process, not its security portfolio.  Or, more precisely, 
one who wants to convince the country he should be in charge of 
both." 
 
 
 
 
 
 
 
 
 
 
-------------------------- 
¶2.  U.S.-Israel Relations: 
-------------------------- 
 
Summary: 
-------- 
 
Liberal columnist Aviad Kleinberg wrote in the mass-circulation, 
pluralist Yediot Aharonot: "It is very doubtful whether the United 
States is a proper emulation model for Israel." 
 
Block Quotes: 
------------- 
 
"We Love You George" 
Liberal columnist Aviad Kleinberg wrote in the mass-circulation, 
pluralist Yediot Aharonot (5/21): "What made me feel uneasy (not to 
say slightly nauseous) [during George and Laura Bush's visit to 
Israel] is the lack of limits, I would say the lack of self-respect 
-- in the bowing at the feet when only a handshake is needed.  Bush 
was repeatedly presented as an incomparable leader, almost as a 
cosmic redeemer.... We love and admire our darling Mum and Dad.  Our 
gratitude to them is boundless.... It is [also] very doubtful 
whether the United States is a proper emulation model for Israel; it 
is even more dubious whether American geopolitical thinking  -- at 
least in its current manifestations -- does not constitute a 
veritable threat to America's little ally.... When you are small, 
you had better develop a regional view." 
 
JONES