Robert Mackey assess the challenge posed by established Israeli settlements to the creation of a viable Palestinian state in the West Bank (1), while Haaretz reports that settlement expansion has recently seen its most acceleration in five years (13). Treasury Department official Michael Rosen announces that the federal government may revise its voluntary guidelines for donating overseas, and suggests American Charities for Palestine as an alternative model (2). The Obama administration reiterates its determination for peace based on two states at the annual AIPAC conference (3), while German chancellor Angela Merkel states that there is no alternative to an agreement between two states (7). Arab leaders meet in Cairo to formulate a unified approach to the Mideast peace process (4).