1.   Assistant Secretary of State Richard Holbrooke is presenting the updated peace proposal to Balkan leaders this week.

2.   But Milosevic is now precisely the Balkan leader most committed to peace, the man most useful to Holbrooke.

3.   Christopher met with the three Balkan leaders Wednesday in the third of a series of meetings designed to smooth out problems in the Dayton agreement.

4.   Christopher, the Balkan leaders and European officials will review the present unsettled state of affairs in Bosnia.

5.   He added that Karadzic would not be invited to a conference of Balkan leaders being planned by France, unless the Bosnian Serbs accept the peace proposal.

6.   He must face justice on these counts so that no Balkan leader is ever tempted to commit similar state crimes in the future.

7.   It is up to Clinton to be as persuasive to the American people as his diplomats proved to be with the Balkan leaders.

8.   Meanwhile, Holbrooke and Gelbard met with Balkan leaders earlier this month and insisted that they live up to their commitments.

9.   Milosevic, more than most Balkan leaders, has reason to fear NATO air strikes.

10.   News of the resignation was welcomed cautiously by American and European leaders familiar with the Balkan leader and his history of reneging on agreements.