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Edition: U.S. Article Comments (2) Save Email Print Reprints Most Popular Most Shared Florida says several states to file healthcare lawsuit 22 Mar 2010 Republicans target Democrats on US healthcare reform 22 Mar 2010 FACTBOX-US healthcare bill would provide immediate benefits 19 Mar 2010 UPDATE 1-Virginia to sue U.S. over healthcare reform 22 Mar 2010 Wal-Mart to slash grocery prices 19 Mar 2010 FACTBOX-US healthcare bill would provide immediate benefits 19 Mar 2010 Factbox: Healthcare bill would provide immediate benefits 22 Mar 2010 Florida says several states to file healthcare lawsuit 22 Mar 2010 UPDATE 1-Virginia to sue U.S. over healthcare reform 22 Mar 2010 Virgin Galactic spaceship makes first test flight 22 Mar 2010 Netanyahu in U.S.: Jerusalem not a settlement Jeffrey Heller and Andrew Quinn WASHINGTON Mon Mar 22, 2010 10:57pm EDT Israel's Prime Minister Benjamin Netanyahu attends the weekly cabinet meeting in his office in Jerusalem, March 21, 2010. Credit: Reuters/Uriel Sinai/Pool WASHINGTON (Reuters) - Declaring "Jerusalem is not a settlement," Israeli Prime Minister Benjamin Netanyahu struck a defiant note on Monday after new U.S. criticism of Jewish home construction in disputed territory in and around the city. World His speech in Washington to the American Israel Public Affairs Committee, or AIPAC, an influential pro-Israel lobby group, contrasted sharply with an address Secretary of State Hillary Clinton made at the same forum hours earlier. Clinton, who followed up her speech with low-profile talks with Netanyahu, said Israeli settlement policy in East Jerusalem and the West Bank endangered peace talks with the Palestinians, an argument the prime minister dismissed. "The Jewish people were building Jerusalem 3,000 years ago and the Jewish people are building Jerusalem today. Jerusalem is not a settlement. It's our capital," Netanyahu said. Palestinians want East Jerusalem, which Israel captured along with the West Bank in a 1967 war, as the capital of a future state. The United States and Israel have clashed since Netanyahu's coalition government announced plans this month to build 1,600 homes for Jews near East Jerusalem. Netanyahu began a three-day visit to Washington on Monday, hoping to repair relations with President Barack Obama, whom he meets at the White House on Tuesday. Announcement of the housing project coincided with a visit by U.S. Vice President Joe Biden -- Netanyahu said he was blindsided by bureaucrats -- and prompted Palestinian President Mahmoud Abbas to delay the start of indirect, U.S.-mediated peace talks. Pointing to what he has described as a national consensus in Israel over its claim to all of Jerusalem, Netanyahu told AIPAC that all Israeli governments had carried out construction in what he termed the city's "Jewish neighborhoods" since 1967. "Everyone knows, everyone -- Americans, Europeans, Israelis certainly, Palestinians -- everyone knows that these neighborhoods will be part of Israel in any peace settlement. Therefore, building them in no way precludes the possibility of the two-state solution," he said. In her speech, Clinton said new construction in East Jerusalem or the West Bank "undermines mutual trust and endangers the proximity talks" that are the first step toward full negotiations, suspended since December 2008. "It exposes daylight between Israel and the United States that others in the region could hope to exploit. And it undermines America's unique ability to play a role -- an essential role, I might add -- in the peace process." But she said U.S. support for Israel was "rock solid, unwavering, enduring, and forever." INSULT Clinton had called announcement of the new housing project "insulting" and demanded Netanyahu outline specific steps to restore confidence in the peace process -- something both sides say he has now done, although neither has released specifics. Netanyahu has said construction of the 1,600 homes at the Ramat Shlomo settlement was at least three years away. Israeli officials said Clinton and Netanyahu had shown at their meeting a desire to put the public feud fueled by the construction project behind them. White House spokesman Robert Gibbs' list of goals for the Obama-Netanyahu meeting was modest. Israel has said Iran's nuclear program will also be on the agenda. "Today, an unprecedented threat to humanity looms large. A radical Iranian regime armed with nuclear weapons could bring an end to the era of nuclear peace the world has enjoyed for the last 65 years," Netanyahu told AIPAC. "Israel expects the international community to act swiftly and to act decisively to thwart this danger. But we always reserve the right of self-defense." Netanyahu was due to dine with Biden, to whom he apologized publicly, before the AIPAC speech. On Tuesday, he planned to visit Capitol Hill, where support for Israel is strong, before meeting Obama, with no public statements expected. Under U.S. and international pressure, Netanyahu announced a 10-month moratorium on new housing starts in Jewish settlements in November. He excluded East Jerusalem and nearby annexed areas of the West Bank from the building freeze. Palestinian officials have continued to insist that Israel's decision to continue settlement building in and around East Jerusalem would prove fatal to the peace process. U.S. envoy George Mitchell urged a period of "calm and quiet" after meeting Abbas in the Jordanian capital, Amman, on Monday. The State Department said Mitchell later left en route for Washington. (Additional reporting by Suleiman al-Khalidi in Amman and Matt Spetalnick in Washington; Editing by Peter Cooney) World Comments See All Comments (2) | Post Comment Mar 22, 2010 11:07pm EDT nice to hear from the governor of the 51st state of the United states. sidrock23 Report As Abusive Mar 22, 2010 11:09pm EDT Israel has the tenth largest arms industry in the world, and makes up twenty percent of the country’s employment. If Israel has no enemies, its economy might collapse. Karl Marx made the case that military spending is necessary and useful for capitalism; does Israel agree? This can’t be about religion. The Abrahamic religions are historically the world’s three primary monotheistic faiths of Judaism, Christianity, and Islam, which share a common origin and values. “common origin and values.” Who knew? That figures. Now I know the Jewish people are perfect and they are aloud to kill, displace, or oppress anyone in order to expand their country indefinitely into the universe; but do we have to sell them the weapons to do it? Oh wait! That’s what we Americans do! We sell weapons! It’s capitalism at its finest! We got the bombs, you got the cash? Yea? Get some! ApostasyUSA Report As Abusive See All Comments (2) Add a Comment More from Reuters Google risks China's ire with slap to censorship BEIJING/SHANGHAI (Reuters) - Google Inc shut its mainland Chinese-language portal and began rerouting searches to an uncensored Hong Kong-based site, unleashing a blast of ire from Beijing and prompting concerns over its future business in China. | Video Obama to revel in hard-fought healthcare victory | Video Asian shares up near 2-month peak | Video Fed to keep pro-growth policies: Chicago Fed chief Time Warner leads bids of up to $1.5 billion for MGM U.S. judge orders release of Guantanamo detainee » More Top News Reuters Breakingviews: Not as cheap as it looks The debate over fair value for the yuan is far from over, but a revaluation may not be the cure-all U.S. politicians are looking for. Commentary Case for appreciation not iron-clad "Too much noise" on yuan China Now comes the hard part With the healthcare victory under his belt, President Obama now has to sell it to dubious Americans as Republicans gear up their attack. Full Article GOP targets Democrats on healthcare Next battle in healthcare: lawsuits Healthcare: Buy now, pay later? Video: Healthcare reform scorecard Healthcare Reform © Copyright 2010 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Analyst Research Mobile Newsletters RSS Podcasts Widgets Your View Labs Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts Venture Capital Journal International Financing Review Project Finance International PEhub.com PE Week Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

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