NEWS: Efforts by PM Netanyahu to fracture the opposition Kadima party appear to have failed. Egypt is now reportedly allowing Palestinians to enter the country without advance permits, but Egyptian airport officials say they've received no such instructions. The Arab League endorses Palestinian plans to renew recognition efforts at the UN but does not set a date. Palestinian filmmakers try to depict life under occupation. Israel is concerned that Syrian nerve gas or rockets may end up in the hands of Hezbollah. A second group of Gaza families is allowed to visit relatives in Israeli jails. Israeli settlers reportedly seize large tracts of land, and Israel orders the demolition of eight Palestinian villages in the occupied West Bank. Hamas leaders vow not to try to separate Gaza from the West Bank. Sacha Baron Cohen settles a slander suit with a Palestinian grocer he had depicted as a terrorist in “Bruno.” The PA fiscal crisis appears to be boosting support for Hamas. The EU is planning to upgrade its relations with Israel. In a “goodwill gesture” Israel transfers an advance to the PA on its tax revenues.COMMENTARY:Jodi Rudoren writes about attending a film festival in Jerusalem. Amira Hass recounts details of a raid on a Palestinian home by Israeli soldiers. Khaled Diab recalls Egyptian-Israeli relations immediately following the 1952 coup. Jeff Barak says Netanyahu has damaged his reelection prospects. Leonard Fein says the Levy Committee report threatens Israel's legitimacy. Michael Felsen says a recent short story about the dynamics at the checkpoint examines the common humanity of Israelis and Palestinians. Nathan Brown says Egypt isn't going to change its policies towards Israel and Palestine now, but eventually probably will. Jillian Kestler-D'Amours says Israel is literally walling itself in on all sides. Shaul Arieli says in expanding its occupation, Israel is ignoring the simple mathematics of demographics.