Arab states agree to "settle Palestinians permanently" ....

In the PULSE, here

Ha'aretz: "Arab states are revising elements of a 2002 peace plan to encourage Israel to agree to the establishment of a demilitarized Palestinian state, the London-based paper Al-Quds al-Arabi reported Wednesday."

According to Israel Radio News:

The report quotes Palestinian sources as saying that the Arab leaders acceded to President Obama's request, and their new initiative will respond to several reservations of the US and Israel regarding the previous initiative.

Among other things, the Palestinian refugees would be offered to settle permanently in those Arab countries where they live today. It also wrote that those who still wished to return to Palestine would be able to move to the Palestinian state that would be established. The paper reported that the Americans demanded a timetable from the Arabs for normalizing relations with Israel. In return for the Israeli flag flying in capitals of the Arab world, the flag of Palestine would fly in the eastern part of Jerusalem, which would be recognized as the capital of the Palestinian state. The UN flag would fly in the Old City of Jerusalem and the holy places would become joint places of worship for the three religions. The revised initiative will be shown to President Obama in his meeting with President Mubarak in a few weeks, the paper wrote.