11.  Arafat expects the West Bank to become a Palestinian state, while Israel strongly opposes the move.

12.  Arafat has said that if such an agreement is not reached, he will unilaterally declare a Palestinian state.

13.  Arafat insisted the 1993 Oslo peace accords give him the right to declare a Palestinian state next year.

14.  Arafat rejected the compromise, however, insisting instead on full Arab control of the enclave, which he wants as the capital of a new Palestinian state.

15.  Arafat said he would continue pursuing a Palestinian state with its capital in Jerusalem even if it cost him his life.

16.  Earlier this year, Barak and Palestinian leader Yasser Arafat were working on a peace deal that would have carved an independent Palestinian state out of Israel.

17.  Earlier, Israel's Labor Party dropped its longstanding opposition to a Palestinian state from its election platform.

18.  Either he helps Prime Minister Shimon Peres of Israel win reelection by smashing the Islamic militants or he watches the dream of a Palestinian state slip through his fingers.

19.  Ehud Barak, who is Shimon Peres's probable successor as Labor Party leader, then called a Palestinian state a "likely" result of the peace process.

20.  Earlier, Clinton met in the Oval Office with Arafat who enraged Israelis this weekend by again voicing hopes for creating a Palestinian state next year.