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OO RUEHROV
DE RUEHJM #0242/01 0360927
ZNR UUUUU ZZH
O 050927Z FEB 09
FM AMCONSUL JERUSALEM
TO RUEHC/SECSTATE WASHDC IMMEDIATE 4037
RHEHAAA/WHITE HOUSE WASHDC
RHEHNSC/WHITE HOUSE NSC
RUEKJCS/SECDEF WASHDC
RUEKJCS/DIA WASHDC
RUEAIIA/CIA WASHDC
RUEADWD/DA WASHINGTON DC//DAS-ZD/DACS-ZK//
RUEAHQA/CSAF WASHINGTON DC//POLAD//
RHMFIUU/CMC WASHINGTON DC
RUENAAA/CNO WASHINGTON DC//POLAD//
INFO RUEHXK/ARAB ISRAELI COLLECTIVE
RUEHTU/AMEMBASSY TUNIS 7530
RUEHLO/AMEMBASSY LONDON 4515
RUEHFR/AMEMBASSY PARIS 4363
RUEHNC/AMEMBASSY NICOSIA 5857
RUEHRO/AMEMBASSY ROME 4279
RUCNDT/USMISSION USUN NEW YORK 2851

UNCLAS SECTION 01 OF 02 JERUSALEM 000242 
 
SIPDIS 
 
STATE PASS BBG 
STATE FOR NEA, NEA/IPA, NEA/PPD 
WHITE HOUSE FOR PRESS OFFICE, SIT ROOM 
NSC FOR ABRAMS 
CMC WASHINGTON DC FOR POLAD 
 
JERUSALEM ALSO FOR ICD 
LONDON FOR HKANONA AND POL - TSOU 
PARIS ALSO FOR POL 
ROME FOR MFO 
 
E.O. 12958: N/A 
TAGS: PREL KMDR KPAL KWBG KPAO IS
SUBJECT: JERUSALEM MEDIA REACTION (02/05):  "NO NEGOTIATIONS UNTIL 
SETTLEMENT ACTIVITIES STOP" 
 
------------- 
Main Stories: 
------------- 
All papers lead with headlines of Palestinian Authority (PA) 
President Abbas' statement to the EU Parliament on February 4, "No 
negotiations with Israel before settlement activities stop and the 
siege on Gaza is completely lifted."  Al Quds further quotes Abbas 
pledging to stop arms smuggling once the PA returns to Gaza.  Al 
Ayyam quotes Abbas demanding that Israel not be allowed to, "repeat 
its crimes in Gaza."  Al Hayat Al Jadida adds that Abbas called the 
Arab peace initiative, "the last chance for peace."  Abbas also 
highlighted that Israel has killed and injured thousands of 
Palestinians and destroyed what the PA built in cooperation with the 
EU over the past 15 years.  All papers quote Abbas expressing hope 
of EU support for a Palestinian unity government that will be based 
on Arab and international norms. 
Al Quds' front page reports that the Fatah sixth conference will be 
held on March 21, either in Cairo or Amman.  The final venue will be 
decided by the Fatah preparatory committee that will report its 
decision to Palestinian Authority President Abbas upon his return to 
Ramallah. 
All front pages highlight an announcement by Palestinian Authority 
(PA) Premier Fayyad that the PA has allocated $600 million for 
reconstructing housing in Gaza.  The funds will be transferred to 
Gaza banks.  In addition, Fayyad noted the amount is on top of $67 
million that was already allocated from the PA's general budget for 
emergency relief to Gaza.  The PA will delay payment of salaries for 
up to two weeks, in order to allow for the emergency spending, 
Fayyad clarified.  Fayyad is also quoted revealing a $1.65 billion 
deficit in the PA's 2009 total budget of $3.3 billion; which, 
according to Fayyad, is a much smaller deficit than in previous 
years. 
 
Al Quds' front page runs two AFP stories quoting a senior 
Palestinian official revealing on February 4 that Special Envoy 
George Mitchell will meet with Palestinian Authority President Abbas 
in Ramallah on February 22 this month.  The second story quotes a 
White House spokesperson stating on February 4 that Mitchell is 
working on "next steps" for peace in the region.  The same story 
gives a different date for Mitchell's visit to Ramallah - February 
¶26. 
All front pages cite Israeli daily Haaretz in revealing that the 
Israeli Defense Ministry has approved the construction of 250 
settlement units near the existing West Bank settlement of Adam to 
resettle settlers from the Migron "illegal" outpost.  The papers 
highlight that the Israeli plans violate commitments made to the 
U.S. on freezing settlement activities.  In related coverage, Al 
Quds runs a front page photo of an Israeli bulldozer demolishing a 
Palestinian building in East Jerusalem's Issawiyah neighborhood.  Al 
Ayyam's front page runs a photo of the same demolition with the 
caption, "electoral campaign destruction targets Jerusalem."  All 
papers note that Israeli demolitions in Jerusalem are part of 
Israeli political party campaign strategies to win votes in upcoming 
elections. 
 
Al Quds' front page reports that Egypt has closed the Gaza- Rafah 
crossing as foreign delegations begin to depart Gaza. The paper also 
quotes Egypt's President Mubarak accusing regional parties of trying 
to use the war in Gaza, "to create a new reality."  The paper 
further quotes an Egyptian source stating that a truce agreement 
between Hamas and Israel is "imminent."  Meanwhile, the same 
reporting notes that Hamas member Salah Bardawil told press that, 
"some questions still need to be answered... such as guarantees," on 
implementation of Israeli commitments. 
 
JERUSALEM 00000242  002 OF 002 
 
 
Al Quds' front page reports that UNRWA refuted reports that it has 
closed schools and other facilities in Gaza in anticipation of 
Israeli military strikes.  The paper further reports that UNRWA has 
accused Hamas of stealing humanitarian aid from its Gaza warehouses, 
a claim Hamas has denied.  Meanwhile, Al Ayyam's front page reports 
that UNRWA has backed down from previous statements in which it 
accused Israel of targeting the Fakhura UNRWA school in Gaza during 
the recent conflict.  In a statement released on February 4 by the 
UN Humanitarian Affairs Coordination office, the UN confirms that 
there was militant fire originating outside the school where "the 
victims" were taking shelter. 
 
Al Quds runs inside coverage on the results of three opinion polls 
conducted with Palestinian respondents in the West Bank, East 
Jerusalem and Gaza.  Nablus-based Najah University reports that 57% 
believe that the "war on Gaza" increased the chances of Gaza being 
separated from the West Bank; 64% want Hamas to accept an 18-month 
truce agreement with Israel; 63% accused Hamas of deepening internal 
division; 79% would vote in new presidential elections.  The 
Palestinian Center for Public Opinion revealed that 53% believe that 
Hamas is taking the country in the wrong direction; 46% would 
support a Palestinian Authority unity government; 54% hold Israel 
responsible for the "war in Gaza."  The Jerusalem Media and 
Communications Center reported that 53% of West Bank Palestinians 
compared to 35% of Gazans believe that Hamas won the war in 
Gaza.-------------- 
BLOCK QUOTES: 
-------------- 
 
Al Quds' editorial is titled, "No negotiations until settlement 
activities stop" (02/05):  "What is important and new in President 
Abbas' speech [before the EU Parliament on February 4) is the 
statement that there will be no negotiations [with Israel] as long 
as settlement activities continue... perhaps this stand will 
highlight for the new U.S. administration and President Barack 
Obama, the importance of responding in a serious and firm manner 
befitting the speedy action of sending George Mitchell to the region 
to discuss peace and truce efforts.  The speedy visit was positive, 
but real progress will be measured in actions not words, as 
personally highlighted by President Obama in his interview with Al 
Arabiya satellite TV." 
WALLES 
 
S