ISRAEL MEDIA REACTION

UNCLAS SECTION 01 OF 09 TEL AVIV 000881

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
USCINCCENT MACDILL AFB FL FOR POLAD/USIA ADVISOR
COMSOCEUR VAIHINGEN GE FOR PAO/POLAD
COMSIXTHFLT FOR 019

JERUSALEM ALSO FOR ICD
LONDON ALSO FOR HKANONA AND POL
PARIS ALSO FOR POL
ROME FOR MFO

E.O. 12958: N/A
TAGS: IS KMDR MEDIA REACTION REPORT
SUBJECT: ISRAEL MEDIA REACTION

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SUBJECTS COVERED IN THIS REPORT:
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1. Mideast


2. Iraq

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Key stories in the media:
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Maariv and Ha'aretz led with developments on the
political scene. The media reported that Likud Party
Chairman Binyamin Netanyahu's proposal to have the
party's central committee hold primaries to select its
Knesset slate was successful. Ha'aretz reported that
senior Kadima officials expressed concern last night
over the party's continued slide in public opinion
polls, as Ha'aretz said that the party was hurt by the
publication of Acting PM Ehud Olmert's real estate
deals (see results of Ha'aretz poll below).

The media reported that an Israeli from Netanya was
shot and wounded near Qalqilya, further to the murder
of a settler from Migdalim next to the settlement.
Israel Radio reported that this morning an Israeli man
was stabbed and wounded in the Atarot industrial zone
in northern Jerusalem. The Jerusalem Post's web site
quoted Olmert as saying this morning that Israel would
use an "iron fist" against terror, and wouldn't place
any restrictions on security forces in their fight
against terrorism.

Yediot reported that the GOI's anti-terror HQ has
intensified its travel warnings for Israelis, telling
them not to visit any Arab country, particularly Egypt
and Jordan, following alerts about reported intentions
of terrorist organizations associated with global jihad
to carry out attacks against Israeli targets. Israel
Radio quoted PA Chairman [President] Mahmoud Abbas as
saying that he has evidence that Al Qaida operates in
the West Bank and the Gaza Strip.

Ha'aretz quoted Abbas as saying Wednesday that he
intends to transfer broad security powers to the future
Hamas government, including the national defense
branch, preventive security, the civilian police, and
civil defense. Israel Radio quoted a senior PA source
associated with Abbas that the US is pressuring Abbas
to restore full powers to the PA's National Security
Council as the supreme body concentrating all the PA's
security branches. The source was quoted as saying
that the US hopes that thus Hamas will not have a grip
on the PA's security forces. The radio further quoted
the source as saying that should a Hamas-led government
contravene the terms of the mandate it receives from
Abbas, Fatah and Abbas would depose that government.
Israel Radio quoted Khaled Mashal, the head of Hamas's
political bureau, as saying in an interview with the
Egyptian daily Al-Ahram that the Palestinians expect
unilateral measures from Israel, because diplomatic
initiatives presented to Israel have not brought forth
the desired results.

Ha'aretz and Israel Radio reported that Labor Party
Chairman Amir Peretz will meet with Abbas in Jericho
today.

Israel Radio quoted Deputy State Department Spokesman

J. Adam Ereli as saying Wednesday that Iran's statement
that there is no need to seek a moratorium on uranium
enrichment is a "move in the wrong direction."

The Jerusalem Post reported that the involvement of
Dubai Ports World, the company chosen to manage six US
seaports, in the Arab boycott against Israel has drawn
sharp criticism in the US Congress and may hamper the
attempts of the United Arab Emirates (UAE) to improve
its trade ties with the US. Ha'aretz reported that the
Anti-Defamation League urged the USG not to approve the
contract with Dubai Ports World until the UAE announces
it is putting an end to its boycott of Israel.

The Jerusalem Post reported that on Wednesday, Hamas
vowed to punish PA officials in Fatah who are involved
in land theft in the former settlements of the Gaza
Strip.

All media reported on President Bush's surprise visit
to Afghanistan on Wednesday.

Major media reported that on Wednesday, State
Comptroller Micha Lindenstrauss cleared Olmert of any
wrongdoing regarding the sale of his Jerusalem home.

All media quoted Defense Minster Shaul Mofaz and
Internal Security Minister Gideon Ezra as saying on
Wednesday before the parliamentary commission of
inquiry into the events surrounding the evacuation of
the Amona outpost that the IDF and police will not be
the commission's "punching bag."

Ha'aretz reported that leading Democratic and
Republican politicians, representing minority groups,
will meet Friday in Washington to discuss a plan to
enlist support for Israel's hard-line position toward
Hamas from Hispanic and Black members of Congress.
Ha'aretz reported that on Wednesday, the Jewish-
American group Israel Policy Forum, urged members of
the US Congress to thwart a draft resolution that
provides for the interdiction of assistance to the PA
and the definition of cooperation with the PA as a
violation of the law.

Maariv reported that in an announcement referring to
the "State of Israel," and not the "Zionist entity" as
usual, Iran responded to attacks made by Israeli
President Moshe Katsav in an interview with the Greek
paper Kathimerini during his recent visit to Greece
against the Iranian nuclear program. Iran cited the
Israeli nuclear program in great detail.

Ha'aretz quoted National Infrastructure Minister Roni
Bar-On as saying Wednesday in the Knesset plenum that
Israel might agree to supply electricity and water to
the Palestinians in exchange for natural gas from
British Gas.

The Jerusalem Post and Israel Radio quoted Olmert as
telling Kadima supporters in Rishon Letzion on
Wednesday that Russian President Vladimir Putin is
committed to Israel and that he would fall in line with
the international stance against Hamas.

Ha'aretz and Hatzofe reported that Bar-Ilan University
will award an honorary doctorate to former first lady,
Senator Hillary Clinton. Professor Moshe Kaveh,
President of Bar-Ilan University, will make the
presentation in New York on Sunday.

Ha'aretz reported that Defense Minister DG Yaakov
(Kobi) Toren told reporters on Wednesday that his
ministry began reissuing export permits to China a few
months ago. Toren was quoted as saying that the
permits, which were issued in coordination with the US,
allow Israeli companies to negotiate with Chinese
companies over the sale of Israeli military products.
Toren confirmed that the ministry wanted to create a
department to coordinate security-related exports with
the defense and trade and industry ministries. He was
quoted as saying that the idea is for the department to
be under the DG of the Defense Ministry, and emphasized
that it would not supercede existing mechanisms for
approving security exports, the main one of which is
SIBAT, the Foreign Defense Assistance and Defense
Export Organization. Toren denied any American
pressure to create the new body.

Leading media reported that families of Israelis killed
in Palestinian suicide bombings have collected 32,000
signatures on a petition to remove "Paradise Now" from
the Academy Awards competition, saying the film
glorifies terrorism. Ha'aretz cited an AP dispatch,
according to which the academy declined to comment on
the petition. Yediot reported that Hany Abu-Assad, the
Palestinian director of the movie, told the newspaper
that Israelis are the terrorists, not the suicide
bombers.

Yediot quoted police officials as saying that a senior
police officer from Tel Aviv inflated the situation of
crime in Israel in reports to U.S. officials, thus
leading to this week's travel warning issued by the
U.S. State Department.

Channel 10-TV and Ha'aretz published the results of a
survey conducted by Prof. Camil Fuchs of the Amanet
Group's Dialogue Institute:
-"Were elections for the Knesset held today, for whom
would you vote?" (Results in Knesset seats -- in
brackets, results of poll conducted on February 23.)
-Kadima 37 (39); Labor Party 19 (19); Likud 15 (14);
National Union-National Religious Party 11 (11); Shas
10 (9); Arab parties 9 (9); United Torah Judaism 6 (7);
Yisrael Beiteinu 7 (7); Meretz 6 (5).

Maariv printed the results of a TNS/Teleseker Polling
Institute survey conducted Wednesday evening -- before
the Likud Central Committee meeting -- which shows an
increase in support for the Likud:
-"Were elections for the Knesset held today, for whom
would you vote?" (Results in Knesset seats.)
-Kadima 39; Labor Party 21; Likud 18 (15 last week);
National Union-National Religious Party 9; Shas 9;
Yisrael Beiteinu 7; Arab parties 7 to 9; Meretz 5;
United Torah Judaism 5.

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1. Mideast:
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Summary:
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Diplomatic correspondent Aluf Benn wrote in
independent, left-leaning Ha'aretz: "All the [Israeli]
governments, from all the parties, fought to slow down
the [diplomatic] process, and all gave up more than
they wanted and invested wasted billions in the
settlements. That will also happen to Olmert if he
doesn't dare to take the initiative."

Liberal op-ed writer Ofer Shelach commented in the lead
editorial of mass-circulation, pluralist Yediot
Aharonot: "It is obvious where the chaos and hardship
in the PA and the increasing pressure employed by
Israel are leading us. Hungry and desperate
Palestinians have more of a tendency to terror."

Political scientist Dr. Menachem Klein, a senior member
of the Geneva Initiative, who is presently on a
sabbatical at MIT, wrote in Ha'aretz: "[Kadima and
Hamas] are interested in ad-hoc unilateral
arrangements.... Could such a coalition hold water? It
appears that it wouldn't."

Nationalist writer Uri Dan commented in popular,
pluralist Maariv: "The [Israeli] defense establishment
must ... prevent future sliding into war."

Block Quotes:
--------------


I. "Seize the Opportunity"

Diplomatic correspondent Aluf Benn wrote in
independent, left-leaning Ha'aretz (March 2): "This is
Olmert's opportunity to shake off old ways. Instead of
pleading with [Palestinian Prime Minister-designate]
Ismail Haniyeh to accept Oslo, Hamas's victory can be
exploited to impose the two-state solution. The
Palestinians want freedom? Go ahead. Israel will
announce that within a year it is giving up all
responsibility for Gaza. No workers, no taxes, no
electricity, no water. Let the Palestinians organize
themselves to receive those services from Egypt, build
a deep sea port and airport, and take the risk of a
harsh reaction if the terror continues. In the West
Bank, Israel will withdraw to the fence, and announce
its readiness to negotiate any remaining border
disputes. It sounds frightening, but in the north,
Israel faced Syria and Hizbullah, which are a lot more
heavily armed than the Palestinians and no less
hostile, without controlling them through banks and
food. And they are not shooting. For nearly two
decades, since the first Intifada, Israel has been
conducting rearguard action for control over the
territories against a Palestinian uprising and terror
as well as international pressure to withdraw. All the
governments, from all the parties, fought to slow down
the process, and all gave up more than they wanted and
invested wasted billions in the settlements. That will
also happen to Olmert if he doesn't dare to take the
initiative."




II. "War Is On the Way"

Liberal op-ed writer Ofer Shelach commented in the lead
editorial of mass-circulation, pluralist Yediot
Aharonot (March 2): "Very quietly, after all, nobody
wants to be the one to bring bad news -- particularly
not on the eve of elections -- the numbers are
beginning to indicate the return of violence.... It is
obvious to all that Hamas, the only party in the
territories capable of waging such a campaign, is being
quiet so far. That is in its interest, at least until
it establishes its regime. And the Israeli government
has no interest in cracking the illusion that 'we have
found the solution to terror' and the so easily
understandable yearning of its citizens, who hoped that
quiet had come. But even if we ignore the data showing
a clear rise in the number of incidents, even if we
don't count the Palestinians killed -- and we never
count them, after all: according to the security theory
prevailing here there is no connection between what we
do and the level of terror -- even if we don't do all
that, it is obvious where the chaos and hardship in the
PA and the increasing pressure employed by Israel are
leading us. Hungry and desperate Palestinians have
more of a tendency to terror.... In September 2000 all
Israelis were convinced that Arafat had ordered the
outbreak of the second Intifada, a narrative that not
everyone in the security establishment agreed with, but
which was marketed energetically by the government and
its spokespeople. In the summer of 2006, there is no
Arafat, and it is very unlikely that there is anybody
who cares what exactly is happening here. Just like in
the previous round, very little will be achieved and
not many things will be of true importance -- except
for the fact that people on both sides will die."

III. "A Short-Term Coalition"

Political scientist Dr. Menachem Klein, a senior member
of the Geneva Initiative, who is presently on a
sabbatical at MIT, wrote in Ha'aretz (March 2):
"Neither Hamas nor Kadima are prepared to make
necessary territorial and ideological concessions to
institutionalize the connection between them in a long-
term contract. Both sides are interested in ad-hoc
unilateral arrangements in which Israel would carry out
a partial withdrawal, in exchange for a truce in the
harsh fighting.... Could such a coalition hold water?
It appears that it wouldn't, because it contains
destructive elements, the might of which is bigger than
that of the bodies including them. In order for the
Kadima-Hamas alliance to hold, both sides have to run a
mutual demonization campaign and to maintain a certain
level of violence and hostility.... Will both sides be
able to engage in brinkmanship for a long time? It
appears that they won't, particularly if one brings
into account Shaul Mofaz's political interests and
brawny conception, and the interests and modi operandi
of the violent organizations on both sides."

IV. "And Terror Goes On"

Nationalist writer Uri Dan commented in popular,
pluralist Maariv (March 2): "Israelis residing in the
western Negev, or south of Ashkelon, are absolutely not
interested in the debate whether terror is strategic or
existential, because they live under the daily threat
of terror.... The southern front is losing its balance,
because Israel has no answer to the Qassam rocket
terror. It might lead to the depths of war.... The
[Israeli] defense establishment must therefore find an
answer to Qassam rocket terror, not only in order to
restore security to the communities around the Gaza
Strip, but also in order to prevent future sliding into
war."

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2. Iraq:
--------------

Summary:
--------------

Liberal columnist Larry Derfner wrote in the
conservative, independent Jerusalem Post: "America and
Britain launched a war in the name of democracy and
freedom for the Iraqi people. They can't abandon it
now.... It would be too evil to contemplate."






Block Quotes:
--------------

"Arabs Killing Arabs"

Liberal columnist Larry Derfner wrote in the
conservative, independent Jerusalem Post (March 2):
"Finally, the war in Iraq has come into focus.... This
is a civil war that appears out of control, certainly
beyond the control of the hopelessly undermanned
American and British armies over there.... The civil
war going on now in Iraq, however, is America's and
Britain's responsibility to stop. America and Britain,
backed enthusiastically by Israel, much of Diaspora
Jewry and evangelical Christianity, decided to invade
Iraq without any invitation. Regardless of George W.
Bush's and Tony Blair's intentions, they initiated a
war whose direct consequence was the current, open-
ended murderousness between the Shi'ites and Sunnis.
So America and Britain can't wash their hands of this,
not if they want to go on being decent countries. They
have to send however many troops and spend however much
money it takes to contain the violence. I would also
say that Israel and anybody who endorsed the war have a
responsibility to give America and Britain at least
moral support for this cause. As for those Jews and
gentiles who cheered on the invasion and who will now
be rooting for civil war, they're exempt from
responsibility because they had no morality to begin
with. America and Britain launched a war in the name
of democracy and freedom for the Iraqi people. They
can't abandon it now in the name of realpolitik, with
an exit strategy that improves as the Iraqi civil war
intensifies. It would be too evil to contemplate."

JONES