[IMRA: It shold be noted that ealier this week FM Livni declined to answer
IMRA if puttting all terrorists on the PA payroll as cops would constitute
dismantling and disarming.]

Statement From the Prime Minister's Bureau [PA elections]
(Communicated by the Prime Minister's Media Adviser)

Acting Prime Minister Ehud Olmert this evening (Thursday), 26.1.06, held a
security discussion in the wake of the results of the Palestinian Authority
(PA) elections. Defense Minister Shaul Mofaz, Foreign Minister Tzipi Livni,
Public Security Minister Gideon Ezra, Minister Tzahi Hanegbi, IDF
Chief-of-Staff Lt.-Gen. Dan Halutz, ISA Director Yuval Diskin and other
senior officials attended the discussion.

The following statement was released:

"Today, it became known that the PA elections have resulted in a victory for
Hamas. There is no doubt that - from Israel's point-of-view - a new
situation has been created.

In the Roadmap, the PA committed itself to dismantling all of the terrorist
organizations operating in its area. Israel has upheld the Roadmap and has
demanded - and continues to demand - that PA Chairman Abu Mazen implement
the obligation to dismantle the terrorist organizations and their
infrastructures.

Approximately one year ago, the PA decided to hold elections for its
Legislative Council and to enable the main terrorist organization - Hamas -
to take part in these elections. At the same time, the PA and its Chairman
made a commitment - both to us and to the international community - that a
condition for Hamas's participation in these elections was that upon their
conclusion the PA would work to disarm Hamas and turn it from a terrorist
organization into a political organization, in accordance with its
requirements under the Roadmap.

The international community agreed to reverse the order and allow the PA to
hold the elections before the dismantling of the terrorist organizations.
We demand that the PA and its Chairman honor this commitment in the shortest
timeframe and both disarm Hamas and the other terrorist organizations and
dismantle their other abilities to perpetrate acts of terrorism.

The State of Israel will not negotiate with a Palestinian administration if
its members include an armed terrorist organization that calls for the
destruction of the State of Israel; in any case, Israel will continue to
fight terrorism with a heavy hand, everywhere.

Hamas has been declared to be a terrorist organization by most of the
international community. The international community will not accept a
situation in which a terrorist organization takes part in an administration
that seeks to enjoy international legitimacy.

Acting Prime Minister Olmert and Foreign Minister Livni will be in contact
with international leaders ahead of the upcoming Quartet meeting and the
upcoming meeting of European Union foreign ministers, which are due to take
place next week. Israel will demand that the entire international community
compel the PA and its Chairman to implement the commitment to eliminate
Hamas as a terrorist organization that calls for Israel's destruction."