HEADLINES FROM THE HEBREW PRESS SUMMARY OF EDITORIALS FROM THE HEBREW PRESS

4.1.4 HA’ARETZ 1. SECURITY “RED BOOK:” RESERVE DUTY IN TERRITORIES TO BE CANCELLED, NO FUNDS FOR AMMUNITION. Reserve day for settlement security to be cancelled. No funds for flight hours for training and professional competency. No money for spare parts; “APCs will get stuck, ships will be docked.” Limited allocations for acquisitions and maintenance to be diverted to US. IDF considering selling assets such as Sde Dov and Sirkin bases. 2. ISRAELI COUPLE AND THEIR DAUGHTER PERISH IN PLANE CRASH IN FRANCE. 3. ESCALATION IN NABLUS: FIVE PALESTINIANS KILLED BY IDF FIRE OVER WEEKEND. HATZOFEH 1. End to sanctions at government offices – agreement in principle likely to be signed today. NETANYAHU-PERETZ AGREEMENT: ONE YEAR WITHOUT DISMISSALS OF PUBLIC SECTOR EMPLOYEES. (…). Cuts approved in child allowances. [Knesset] Finance Committee approves disbandment of religious councils. 2. Expose: DUE TO CLOSURE OF RELIGIOUS AFFAIRS MINISTRY: MT. OF OLIVES SECURITY HALTED. (…).

3. THREE ISRAELIS KILLED IN CRASH NEAR PARIS OF LIGHT PLANE THAT LEFT FROM ISRAEL. 4. PALESTINIANS INFILTRATE SECURITY FENCE – BY JUMPING OVER IT VIA LADDER. MA’ARIV 1. New taxes – this is how Finance Ministry intends to finance income tax reform. DECREES ON THE WAY. New draft budget includes tax increases on flat rentals, cigarettes and diesel fuel. Today: Decisive meeting between Finance Minister and Histadrut Chairman. Goal: Declare end to 100-day strike today. 2. ISRAELIS DIVORCING LESS. This year: 20% decline in divorces. Naamat [women’s organization] explanation: Women afraid to be without economic roof. 3. SUGGESTION IN LIKUD: “TRANSFER PALESTINIANS TO SYRIA.” YEDIOT AHRONOT 1. Death flight to Paris. Israeli family crashes in private plane. “I WARNED THEM, DON’T FLY, A STORM IS EXPECTED.” (…). 2. “ADDITIONAL CUT IN ALLOWANCES EXPECTED IN ORDER TO FINANCE NEW BUDGET.” Government assessment: No other way to finance coalition demands. Today: Expected signing of agreement to end sanctions in economy. ________________________ SUMMARY OF EDITORIALS FROM THE HEBREW PRESS Yediot Ahronot, in its second editorial, discusses Agriculture and Rural development Minister Yisrael Katz’s remarks last week about new communities on the Golan Heights and says, “An embarrassing thing is happening to the Israeli government en route to the Likud convention, which convenes tomorrow and his name is Yisrael Katz.” The editors believe that a vocal showing at the convention by the Likud’s right wing could both embarrass and hamstring Prime Minister Ariel Sharon. __________ Both papers discuss today’s expected agreement on ending the public sector work sanctions: Yediot Ahronot derides the three month-long sanctions as, “an expensive and unnecessary battle of egos,” between the Finance Ministry and the Histadrut. Hatzofeh believes that, “The apparent agreement constitutes a reasonable compromise between the two sides’ opening positions. The editors also refer to the 2004 state budget which may be passed this week and assert that, “The Finance Ministry has begun the right steps to heal the economy. We are certainly seeing the first signs of growth and the major companies in the economy are showing trust in the Finance Ministry’s economic management. The general direction is correct and must be continued, along with flexibility on certain items for humanitarian reasons.”
BPI.