HA’ARETZ 1. COMPROMISE PROPOSAL: KNESSET WILL CONDITION DISENGAGEMENT ON REFERENDUM, SETTLERS WILL PROMISE TO ACCEPT IT. Livnat mobilizing support for her compromise proposal ahead of Sharon’s meeting with Yesha leaders; PM’s Bureau opposes: Gush Katif must also promise to accept result; 60 rabbis: Refuse to evacuate. 2. DISENGAGEMENT SPLITTING US JEWISH COMMUNITY. 3. CONCERN: ACTIVITY IN TERRITORIES WILL ENTAIL EU SANCTIONS. 4. SEPTEMBER CPI DECLINES BY 0.2%. In wake of report, increasing pressure on Bank of Israel Governor to lower interest rates.

HATZOFEH 1. Arab MKs likely to vote against disengagement in Knesset. “MR. PRIME MINISTER, RESPONSIBILITY FOR SPLITTING NATION IS YOURS ALONE.” Thus Yesha Council leaders will warn Ariel Sharon at their meeting, which he called. They will promise: If people support Sharon – there will be demonstrations only but not more than that. Day after tomorrow: Sharon to meet with Gush Katif residents’ representatives. 2. PARTITION OF GAZA STRIP LIFTED – FIRING OF MORTARS RESUMES. Seven shells landed in Gush Katif last night. IDF evacuates Beit Lahiye – deploys in staging areas opposite Gaza Strip. Palestinians: IDF withdrawal – our victory. Car bomb ambush: Terrorists enticed IDF force into entering village – and detonated car bomb next to it. 3. EVACUATION OF OUTPOSTS TO BE POSTPONED UNTIL AFTER KNESSET DISENGAGEMENT VOTE. 4. SEPTEMBER CPI DECLINES BY 0.2%. MA’ARIV 1. Today: PM meets with settlers. PRESIDENT KATSAV TO SHARON: MUST HOLD REFERENDUM. Katsav expected to try and convince PM tomorrow of urgency for referendum. Yesha leaders: “If there is no referendum, civil war is liable to break out.” 2. CHIEF-OF-STAFF ACCEPTS REGIMENTAL COMMANDER’S VERSION. Did not “confirm death” of girl. YEDIOT AHRONOT 1. Anxious meeting: PM to present disengagement plan to Yesha leaders. SHARON: WE ARE BROTHERS. SETTLERS: WE WILL TOPPLE YOU. After months of no contact, political rivals will meet face-to-face today. Yesha leaders to demand referendum: “Only you can prevent rift among people.” Sharon to respond to them: “We must continue to live together.” 2. SEVERE OUTBREAK OF WHOOPING COUGH IN ISRAEL. Assessment: Thousands stricken since beginning of year. Health Ministry lowers immunization age. ______________________________ Yediot Ahronot analyzes the 0.2% drop in the September CPI and calls on Bank of Israel Governor Prof. David Klein to substantially lower interest rates. Hatzofeh says that, “Ariel Sharon has trampled democracy and legitimized refusal to serve,” and adds that, “Sharon has shown impressive persistence in the field of hypocrisy.” Hatzofeh, in its second editorial, rebukes those who have criticized former Ashkenazi Chief Rabbi Avraham Shapira for calling on soldiers to refuse orders to evacuate settlements given that prominent left-wing personalities have made similar calls from their side of the political spectrum. BPI-info