NEWS: Germans appear to be becoming less reticent to criticize Israel. With international attention now focused on Iran, Israel is moving to expand settlements in the occupied West Bank. Pres. Abbas arrives in Japan on the first stop of an international tour. Palestinian and Israeli officials will meet next week to discuss water issues. Palestinian officials say they are ready to resume negotiations with Israel, but only with a clear frame of reference. In a letter to the New York Times, Israeli Amb. Oren denies that Israel interferes in US elections. The National profiles Sari Nusseibeh and his evolving views on future relations between Israel and the Palestinians. Lacking US leadership, the Israeli-Palestinian peace process appears at an impasse. The one-state agenda is gaining ground in Palestinian public opinion. Jordan may be considering revoking citizenship for some Palestinians, including some PLO and PA officials. COMMENTARY: ATFP praises the release of US aid to the Palestinian people and welcomes the latest statement by the Quartet. Gideon Levy says Israel has become paranoid about pro-Palestinian activists. Patrick Seale says Israel “ urgently needs a voice of reason" like new Kadima leader Mofaz. Sever Plocker says there is a growing gap in perceptions between Jewish Americans and Israel. Zvika Krieger says a two-state solution is still possible and that an evacuation of up to 100,000 settlers is politically possible. The Oman Tribune says it's pointless to try to pursue negotiations until after the next US presidential election. Allison Good looks at the future of Israeli-Lebanese naval cooperation. Michael Zigmond says a settlement boycott is in Israel's interests. Nabeel Shaath says Palestinians remain committed to the1967 borders. Paul Blumenthal looks at the political agenda being promoted in the United States and Israel by gambling billionaire Irving Moskowitz.