VZCZCXRO1480
OO RUEHROV
DE RUEHJM #0563/01 0860548
ZNR UUUUU ZZH
O 270548Z MAR 09
FM AMCONSUL JERUSALEM
TO RUEHC/SECSTATE WASHDC IMMEDIATE 4495
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
RHMFIUU/CNO WASHINGTON DC//POLAD//
INFO RUEHXK/ARAB ISRAELI COLLECTIVE
RUEHTU/AMEMBASSY TUNIS 7605
RUEHLO/AMEMBASSY LONDON 4590
RUEHFR/AMEMBASSY PARIS 4439
RUEHNC/AMEMBASSY NICOSIA 5932
RUEHRO/AMEMBASSY ROME 4354
RUCNDT/USMISSION USUN NEW YORK 2928

UNCLAS SECTION 01 OF 02 JERUSALEM 000563 
 
SIPDIS 
 
STATE PASS BBG 
STATE FOR NEA, NEA/IPA, NEA/PPD 
WHITE HOUSE FOR PRESS OFFICE, SIT ROOM 
NSC 
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 (03/27):  PALESTINIANS SEE U.S. 
"UNEASE" WITH NETANYAHU'S GOVERNMENT 
 
------------- 
Main Stories: 
------------- 
Al Quds leads with Israeli confirmation that a senior Egyptian 
official visited Israel on March 25 to discuss the prisoner exchange 
deal between Hamas and Israel.  The report, that appears on all 
front pages, claims that Israel has dropped some of its demands 
regarding the names of prisoners to be released in exchange for 
Israeli soldier Shalit.  Papers note that Hamas remains firm in its 
demand that each prisoner be free to accept or reject Israel's 
demand for deportation outside of the Palestinian Territories. 
Al Ayyam and Al Hayat Al Jadida lead with wire stories about foreign 
jet fighters striking a convoy allegedly carrying arms for Hamas 
through Sudan in mid-January.  The report that also appears on Al 
Quds' front page, reveals that the convoy was attempting to cross 
over to Egyptian dessert and then into Gaza.  Al Ayyam notes 
indications of U.S. and Israeli involvement in the attack, a fact 
that could increase tensions between Sudan and the West.  Al Ayyam 
further quotes Israeli Premier Olmert denying Israeli involvement 
but asserting that Israel has the capability to conduct military 
strikes anywhere, and that, "he leaves it to the journalists' 
imagination to interpret his remarks." 
 
Al Ayyam and Al Hayat Al Jadida front page an AFP report quoting PLO 
Chief negotiator Erekat accusing outgoing Israeli Premier Olmert of 
obstructing the signing of a peace agreement, scheduled for January 
2009 in Washington, by, "launching a comprehensive aggression 
against the Palestinian people in Gaza, making it impossible to hold 
the meeting." 
Al Quds' front page quotes former CIA official, Michael Sheuer, 
stating that supporters of Israel undermine U.S. policies and work 
to give Israeli interests priority over U.S. interests.  He also 
stated that current U.S.-Israeli relations undermine U.S. national 
security and called on the U.S. to leave Israel to handle its own 
affairs without U.S. support. 
All front pages cite Reuters in reporting that Israeli Premier 
designate Netanyahu told journalists on March 26 that he does not 
expect the U.S. to pressure his government on his strategy for the 
peace process in the Middle East. 
Al Ayyam and Al Hayat Al Jadida's front pages run an AFP story 
reporting on the Israeli military's acknowledgment of white 
phosphorus being used in recent operations in Gaza, but refuting 
that the weapon's use constitutes a war crime.  The report runs 
alongside a photo of a Gazan woman showing her arm with scars of 
white phosphorus burns. 
Al Ayyam's front page runs a DPA story about Israel's successful 
test of its "Steel Dome" anti-missile system, designed to intercept 
missiles from the Gaza Strip.  Reporting notes that the 210 million 
Euro system can intercept missiles with a range of 70 km. 
Al Hayat Al Jadida's front page reports that Islamic Jihad in Gaza 
has confirmed that Hamas arrested one of its militants who battled 
with Israeli soldiers on March 26.-------------- 
BLOCK QUOTES: 
------------- 
1) Al Quds' editorial is titled, "The incoming Israeli Government 
faces the world"(03/27):  "The dangers of the appointments of 
Lieberman and other extremists to the Netanyahu hawk government are 
clear to the international community, particularly to President 
Barack Obama's administration.  The [March 25] statements by Obama 
were an indication to his unease, felt by the whole world... that 
peace will not be easier under the new Israeli government." 
 
JERUSALEM 00000563  002 OF 002 
 
 
2) Mohamad Yaghi opines in Al Ayyam under the title, "Western 
contact with Hamas"(03/27):  "Breaking the political siege 
[isolation] on Hamas would require Hamas to step forward and 
recognize the two-state solution... The West can understand that 
Hamas does not recognize Israel, since no borders have been 
defined... but the West cannot accept Hamas' rejection of the 
two-state principle as the basis for solving the conflict... The 
West did not argue against the legitimacy of Palestinian legislative 
elections and did not reject Hamas' victory in those elections, 
rather the West rejected Hamas' vision for solving the conflict with 
Israel." 
 
WALLES