41.   In a news conference Saturday with Rau, Arafat reaffirmed that the Palestinians can declare statehood in September, whether or not a final treaty has been agreed upon.

42.   In Egypt last week, Arafat said Palestinian officials are still consulting with other countries on whether to declare statehood.

43.   In recent months, Palestinian plans to declare statehood have been a major point of contention.

44.   Israel had threatened a drastic response if the Palestinians unilaterally declared statehood.

45.   Israel has already threatened to annex key parts of the West Bank if Palestinian leader Yasser Arafat declares statehood.

46.   Israeli Prime Minister Benjamin Netanyahu has already threatened to annex key parts of the West Bank if Palestinian leader Yasser Arafat declares statehood.

47.   Israeli Prime Minister Benjamin Netanyahu warned Palestinians Thursday not to declare statehood, saying such a step would destroy the peace process and lead to Israeli retaliation.

48.   Israeli Prime Minister Benjamin Netanyahu said last week that he had a contingency plan should Arafat declare statehood unilaterally.

49.   It did not mention a date for when the Palestinians should declare statehood.

50.   Israel has indicated in the past that if Arafat declares statehood unilaterally, it in turn will annex chunks of the West Bank.