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Bush, Mideast leaders voice measured optimism about peace prospects


WASHINGTON - President Bush stepped cautiously into the most direct Mideast peacemaking of his administration on Monday, meeting separately with the leaders of Israel and the Palestinian Authority to explore whether peace is possible. "Difficult compromises" will be required but the Israeli and Palestinian leaders are committed to making them, he said.

A day ahead of a major Mideast peace conference in Annapolis, Md., Bush said he was optimistic. The gathering is to launch the first direct peace talks between Israel and the Palestinians of Bush`s nearly seven years in office, and has attracted Arab and other outside backing.

Israeli and Palestinian leaders have already said they want to conclude a bargain within the 14 months that Bush has left in office. The two sides were unable to frame a blueprint for the talks before they came to the United States, and negotiations over the text were expected to continue into Tuesday.

At an evening dinner at the State Department for members of some 50 delegations invited to the talks, Bush toasted the effort and told the guests: "We`ve come together this week because we share a common goal: two democratic states, Israel and Palestine, living side-by-side in peace and security. Achieving this goal requires difficult compromises, and the Israelis and Palestinians have elected leaders committed to making them."

Bush earlier emerged from an Oval Office meeting with Israeli Prime Minister Ehud Olmert and told him: "I`m looking forward to continuing our serious dialogue with you and the president of the Palestinian Authority to see whether or not peace is possible. I`m optimistic. I know that you`re optimistic."

Next, he met with Palestinian President Mahmoud Abbas, who stressed the need to address issues of Palestinian statehood, sticking points that have doomed previous peace efforts.

"We have a great deal of hope that this conference will produce permanent status negotiations, expanded negotiations, over all permanent status issues that would lead to a peace agreement between Israel and the Palestinian people," he said. "This is a great initiative and we need his (Bush`s) continuing effort to achieve this objective."

At the dinner, with its menu of red and yellow beet salad and sea bass carefully selected to meet kosher and Muslim dietary guidelines, host Condoleezza Rice, the secretary of state, sat between Olmert and Abbas. Bush stopped by briefly to share a toast with the participants, and clinked glasses with Abbas and Olmert. They raised their iced tea; for Bush, it was water. No alcohol was served out of respect for Muslim tradition.

Earlier, Olmert said that international support - from Bush and also, presumably, from the Arab nations that will attend the conference - could make this effort succeed where others have failed.

"This time, it`s different because we are going to have a lot of participation in what I hope will launch a serious process negotiation between us and the Palestinians," Olmert said. He was referring to the talks expected to begin in earnest after this week`s U.S.-hosted meetings.

"We and the Palestinians will sit together in Jerusalem and work out something that will be very good," Olmert said. As to timing, he added later: "We definitely will have to sit down very soon."

The agreement that was shaping up, as Palestinian official Yasser Abed Rabbo described it, is a starting point for negotiations and sketches only vague bargaining terms. The big questions that have doomed previous peace efforts would come later.

The document was to include a formal announcement of the renewal of peace talks, Abed Rabbo said. It will set a target of concluding negotiations before Bush leaves office in January 2009. And it commits the two sides to resolving the key issues that divide them.

Chief Palestinian negotiator Ahmed Qureia said after an afternoon meeting with Rice, Israeli Foreign Minister Tzipi Livni and others that details of the document had not been finalized. "Our efforts are still going on to reach this document," he said.

A member of the Palestinian delegation, speaking on condition on anonymity because talks are still going on, said three main obstacles have emerged:

- All sides have agreed that two states should be established, but the Palestinians have objected to referring to Israel as a "Jewish state." The Palestinians and their Arab backers are concerned that a specific reference to a Jewish state would prejudice the right of Palestinians who claim a right to return to land they once owned inside Israel.

- American and Israeli officials are resisting Palestinian efforts to include language about "ending the occupation that started in 1967," a reference to disputed Jewish settlements in the West Bank. The West Bank would form the bulk of an eventual Palestinian state and the two sides must decide which settlements would remain a part of Israel.

- The Palestinians want the document to set a one-year timetable for reaching a resolution. The Israelis do not want this, and the Americans are open the idea.

Some in Bush`s administration doubt that a settlement is possible in such a short time frame and have reservations about whether the Palestinians, in particular, are ready to make necessary concessions.

Bush`s tempered outlook as he readied the Annapolis conference suggested he has his own misgivings, although administration spokesmen said the United States will remain closely involved after Tuesday`s session closes.

The Palestinian question underlies numerous other conflicts and grievances in the Middle East, and has scattered hundreds of thousands of Palestinians across several Arab states. The Palestinians are unlikely to strike any bargain that their Arab backers and neighbors do not support, so the Annapolis conference is meant to make Arabs what one administration official called "ground-floor investors" in the new round of talks.

Saudia Arabia, linchpin of Arab support for the new peace push, said it agreed to attend after receiving assurances that the Bush administration would remain energetic after the talks begin, and intervene with its own ideas if necessary.

"When the president says I am fully backing this effort, I will use every resource ... how can you not be confident?" asked the kingdom`s foreign minister, Prince Saud al-Faisal.

He also said Saudi Arabia would not consider establishing diplomatic relations with Israel until after Palestinian and other territorial questions are settled.

Criticism directed at the conference from afar pointed to the enormity of the challenge. Leaders of the Islamic militant group Hamas, for instance, labeled Abbas a traitor even for coming to the meeting, and vowed to reject any decisions to come out of the conference.

The events were unfolding here as the Israeli military killed four Palestinians in the Gaza Strip in an airstrike and a ground clash.

At a briefing with reporters, Olmert pounded his fist on a desk as he spoke of the need to work toward peace despite difficulties.

"We want to move forward," he declared. "We don`t want the status quo."

But he also said Israel would insist that the Palestinians fight terror in Hamas-ruled Gaza before any peace deal would be implemented.

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