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The Israeli prime minister stressed that if he does not achieve an agreement with the Palestinians, the consequences could be very grave. "Our peace agreements with the Egyptians and the Jordanians will be severely cracked and may collapse," he said.Israel has been more upbeat than the Palestinians about the U.S. plan. "We are talking about proposals which I think, on the face of it, are reasonable," Israeli negotiator Gilead Sher told Israel's Channel Two.Flying back from an early morning meeting in Cairo with Egyptian President Hosni Mubarak today, Arafat gave his first response to the peace proposal discussed in Washington this week. Speaking to journalists in Gaza, Arafat said the Palestinians were studying the American proposal and would need time to analyze it in greater detail. "We still have to thoroughly review the American suggestions," Arafat told reporters in Gaza. "There are a lot of obstacles."
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