September 2, 1999
Web posted at: 9:20 a.m. EDT (1320 GMT)

In this story: Each side waits for call Arafat arrives in Alexandria RELATED STORIES, SITES

CAIRO, Egypt -- The fate of Israeli-Palestinian negotiations was uncertain Thursday morning, hours before U.S. Secretary of State Madeleine Albright was to arrive in Egypt for a ceremony intended to re-launch the U.S.-brokered Wye River land-for-security agreement.

Marathon talks between Israelis and Palestinians have so far failed to break an impasse over the release of Palestinian prisoners held by Israel.

The prisoner release is apparently the last obstacle to an agreement on how to implement the U.S.-brokered Wye River accord.Disagreement focused on the question of release for prisoners jailed for the killing of Israelis.

It was unclear whether an agreement could be clinched in time for Israeli Prime Minister Ehud Barak to join Palestinian leader Yasser Arafat for a signing ceremony during Albright's stop in Alexandria.

Each side said it was up to the other to convene a final, crucial negotiating session to resolve the difference over the imprisoned Palestinians.

The Palestinians want 400, while Israel publicly insisted it would release only 350.

Palestinian officials said privately that Israel was ready to release 370 prisoners.

The 30 in the middle are apparently Palestinians involved in the killing of Israelis -- a type of prisoner Israel will not release. The uncertainty cast doubt on whether the ceremony would take place.

"If nothing has changed, there is no reason to make a special ceremony," said David Ziso, a spokesman for Israeli Prime Minister Ehud Barak.

Ziso said Israel was waiting for a call from the Palestinians saying they agreed to Israel's terms.

Saeb Erekat, the senior Palestinian negotiator, said it was up to Israel to pick up the phone.

"They are escalating the situation at the final moment for no reason," Erekat said. "We reject this way of dealing with us."

Erekat said there was agreement on every other issue, including that were especially vexing: a timetable for an Israeli withdrawal from at least 13 percent of the West Bank and a deadline for a final status agreement.

The new deadline to wrap up a final peace deal would be a year after the re-launch of Wye -- if all goes well this week, that would mean September, 2000.

Arafat arrived in Alexandria and U.S. and European Union envoys flew in to Cairo amid the uncertain prospects for the signing, officials said on Thursday.

They said Arafat arrived Wednesday night in Alexandria on Wednesday night after he cut short a visit to the Netherlands. U.S. envoy Dennis Ross and Miguel Moratinos of the EU flew in to Cairo separately late on Wednesday.

Asked if the showcase event was still possible in the coming hours, Israeli cabinet minister Haim Ramon told Army Radio: "Certainly, if the Palestinians pick up the phone."

The Associated Press and Reuters contributed to this report.

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