31.   He said Palestinians could unilaterally declare statehood, with Jerusalem as their capital, if Israel refused to engage in talks on a final settlement.

32.   He has vowed to declare statehood if Israel does not agree to a state by mid-September, the deadline the two sides have set for a settlement.

33.   Heading toward a showdown with Israel, the Palestinian Cabinet has said Palestinian leader Yasser Arafat will declare statehood in the West Bank and Gaza in May.

34.   Heading toward a showdown with Israel, the Palestinian Cabinet said Palestinian leader Yasser Arafat would declare statehood in the West Bank and Gaza Strip in May.

35.   Hillary Rodham Clinton said U.S. aid to Palestinians should be cut off if they unilaterally declare statehood.

36.   Heading toward a showdown with Israel, the Palestinian Cabinet said Palestinian leader Yasser Arafat would declare statehood in the West Bank and Gaza in May.

37.   Heading toward a showdown with Israel, the Palestinian Cabinet said Yasser Arafat would declare statehood in the West Bank and Gaza Strip in May.

38.   If Arafat declares statehood, Netanyahu could use it as a scare tactic.

39.   If bargaining does not achieve his goal, the Palestinian leader has said he would declare statehood unilaterally.

40.   In an interview with Israel TV on Wednesday, Netanyahu warned the Palestinians against declaring statehood unilaterally.