    [Public Papers of the Presidents of the United States: William J. Clinton (1997, Book I)]
    [February 13, 1997]
    [Pages 151-157]
    [From the U.S. Government Publishing Office www.gpo.gov]

    The President's News Conference With Prime Minister
    Binyamin Netanyahu of Israel
    February 13, 1997

        President Clinton. Good afternoon. Please be seated. I'm pleased to
    welcome Prime Minister Netanyahu back to the White House for his fourth
    visit since taking office. He comes at a time of great sadness in
    Israel, following the terrible helicopter accident of 9 days ago. We
    know that in Israel every death is in the family. And on behalf of the
    American people, Mr. Prime Minister, once again I would like to extend
    our deepest sympathies to the loved ones of the victims and to all the
    people of Israel.
        Since our meeting in October, we have traveled a very long way. Then
    we met in a time of crisis; now there is a renewed sense of promise in
    the Middle East. I want to congratulate the Prime Minister for
    concluding the Hebron agreement last month with Chairman Arafat. They
    have reached a milestone on the way to a secure and lasting peace. The
    agreement solved the immediate issue of redeployment and laid out a
    roadmap for the next steps that must be taken to fulfill existing
    agreements and to

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    move ahead to the pivotal questions of the future.
        Beyond the specific commitments made, the Hebron accord is important
    because it renewed the partnership between Israelis and Palestinians, a
    partnership that is essential to the success of the peace process. The
    United States is proud to have helped in this effort.
        Today the Prime Minister and I discussed what Israelis and
    Palestinians need to do next to strengthen this relationship that is so
    central to all our hopes for the Middle East. We have an opportunity to
    build on the new momentum coming out of last month's agreement. It must
    not be wasted.
        The release of Palestinian prisoners earlier this week was an
    important sign of Israel's respect for past agreements and its
    willingness to take into account Palestinian needs. Both sides must show
    the same kind of determination as they seek to resolve on the basis of
    reciprocity the issues that remain. The challenges will be great, but
    the Prime Minister and Chairman Arafat have shown that the will is
    there. Just as America has been by Israel's side each step of the way,
    in the journey that lies ahead we will help Israel and its partners move
    forward.
        The achievement of Hebron is a call to action, and it must be
    heeded. The United States and Israel share a goal of a comprehensive
    settlement and a powerful belief that peace and security are
    indivisible.
        The Prime Minister and I exchanged ideas on how to revive
    negotiations between Syria and Israel. I believe both nations want to
    conclude a peace agreement, and the United States will work with them to
    achieve that goal. We also believe it is important that Israel and
    Lebanon achieve an agreement to complete the circle of peace.
        We agreed on the need for increased contact and better ties between
    Arab States and Israel. This will be a priority in my meetings with
    other Middle East leaders over the next month. It's time to reinvigorate
    talks that bring together Israelis, Arabs, and the international
    community to address regional issues such as water resources and
    environmental protection and to clear the way to more trade between
    Israel and Arab nations.
        To make peace meaningful, reconciliation must deepen. And Arabs and
    Israelis must both harvest more of the fruits of peace. The pursuit of
    peace and the practice of terror are incompatible. For negotiations to
    succeed, there must be a climate of stability and tranquility. For peace
    to endure, Arabs and Israelis must know the calm of a normal life.
        Prime Minister Netanyahu and I reviewed our shared efforts to combat
    terror, including the 2-year, $100 million program I announced last
    year. Those funds have allowed Israel to invest in research and
    development for new technologies, to procure state-of-the-art security
    equipment, to streamline the passage of goods and people from the West
    Bank and Gaza. That way Israel has more security, and Palestinians have
    more economic opportunity.
        Finally, I reaffirmed to the Prime Minister America's unshakable
    determination to continue helping Israel to meet its security needs. The
    delivery of F-15-I fighters beginning this year will strengthen Israel's
    air defenses against any attack. And our cooperation on theater missile
    defenses through early warning systems and defensive programs like the
    Arrow is reducing the chance that Israelis again will fear missile
    attacks from distant enemies.
        When Binyamin Netanyahu first visited the White House as Prime
    Minister, I pledged that we would preserve and strengthen the bonds
    between our two nations. With this meeting we have taken another step to
    fulfill that promise, to deepen the partnership that has made it
    possible for so many extraordinary changes to occur in the Middle East
    since 1993, through the agreements last month and through other things
    that will now be done to sustain us as we move forward toward our common
    dream of a comprehensive peace.
        Thank you, Mr. Prime Minister. The floor is yours.
        Prime Minister Netanyahu. Thank you. Mr. President, I want to thank
    you first for the very moving words that you expressed, your sharing of
    our grief, the sharing of the American people of the great sorrow of the
    people of Israel in our recent tragedy. I think you've shown yourself to
    be a great champion of peace and an exceptional friend of Israel. And I
    must say that both of these attitudes were in evidence today in our
    discussions, discussions between friends who wish to achieve peace and
    security.
        We discussed the progress and the various tracks of peace, both with
    the Palestinians and as we hope with the Syrians. And I found, as always
    in my discussions with you, Mr. President, your unshakable commitment to
    Israel's

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    security and understanding of how security is intertwined with peace and
    a desire to assist us with our Arab partners to walk on that road of
    peace and security.
        I think that the strength of the American-Israel relationship is a
    fundamental factor in the pursuit of peace, of a secure peace in the
    Middle East. And I come out of these meetings with renewed confidence in
    our ability to progress on that road.
        Thank you, Mr. President.
        President Clinton. Now, we'll start with Terry [Terence Hunt,
    Associated Press], and we'll alternate between American and Israeli
    journalists. And the Prime Minister will call on the journalists from
    Israel.

    Syria

        Q. Mr. President, you mentioned Syria. What are the prospects for
    restarting peace talks with Syria? And the Prime Minister was said to be
    bringing a territorial compromise on the Golan Heights. Did you discuss
    that, and what can you tell us about it? Do you think it might work?
        President Clinton. I would very much like to see the talks resume.
    And I think it's an important part of continuing the process, keeping it
    alive, keeping the momentum going. We had an extensive discussion about
    the whole issue of every aspect of the peace process. But I think the
    only way the United States has been able to be a constructive force in
    this process for the last several years is not to say anything which
    will undermine the prospects of its success. So if I--I'm going to
    follow the rule I've followed since I first came to this job: Until we
    have something to say publicly, anything I comment on will only
    undermine the chances of peace.
        I do feel encouraged by the discussions we've had, that there are
    things worth working on, working through. I'm hopeful that we can get
    the Syrian track going again. But I have nothing specific to say at this
    time.

    Middle East Peace Process

        Q. Mr. President, I believe that you had a very lengthy private talk
    with Prime Minister Netanyahu. In your private conversation today, did
    he outline to you how does he see the future Middle East or the
    permanent settlements--peace settlements in the Middle East between
    Israel and Syria, between Israel and the Palestinians or the Palestinian
    Authority? Privately, did he say anything to you about it?
        President Clinton. You mean you want me to make the private talk not
    private anymore? [Laughter] No, the answer--yes, the answer is, I
    believe he has thought through a way consistent with the security of the
    people of Israel that a comprehensive peace might be achieved. We all
    know that there are a lot of things out there that still have to be
    resolved. But I was impressed that it's obvious that he has been
    thinking very hard about this and thinking about it from a security
    point of view and from a point of view of peace and long-term harmony
    and prosperity of peoples in the region. I was encouraged by that.
        Helen [Helen Thomas, United Press International].

    Lebanon

        Q. Mr. President, assuming that Ambassador Indyk was correctly
    quoted on our policy in Lebanon and assuming that we still have a
    tradition of supporting territorial integrity, why are you against the
    withdrawal of Israeli troops from Lebanon at this time?
        President Clinton. I believe it is imperative that Israel maintain
    the security of its northern border, and therefore, I have believed that
    the United States should be somewhat deferential under these
    circumstances, which are quite unusual, as we've seen repeatedly over
    the last few years, in the decisions that Israel would make. So it's up
    to the Prime Minister to announce the policy of his country, not me, on
    this issue.
        Q. Even to the point of occupying someone else's country?
        President Clinton. Do you want to make a comment about it?
        Prime Minister Netanyahu. Thanks. [Laughter]
        President Clinton. Get me off the hot seat. [Laughter]
        Prime Minister Netanyahu. Well, we have no desire, Helen, to be in
    Lebanon. We're there simply because there's a desire of some people in
    Lebanon to be in Israel, specifically, to launch attacks against Israel.
    They've been doing that over the years. I'm talking about Hezbollah at
    this stage. And we have said that we would withdraw from Lebanon if we
    could secure our northern border. Our concern is that if we simply
    walked away to the border, the Hezbollah

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    and other terrorists would just come to the fence and attack our towns
    and villages and our citizens from that improved position.
        My view is that we can achieve an ultimate withdrawal from Lebanon
    if we could have somebody dismantle the Hezbollah military capacity in
    the south of the country and take up the slack--preferably it should be
    the Lebanese army. That is something that we're prepared to negotiate
    with the Government of Lebanon, and it's no secret with Syria, that has
    more than a minor influence in Lebanon. That is our position. It hasn't
    changed.

    Iran and Saudi Arabia

        Q. Mr. President, Mr. Prime Minister, Iran is developing long-range
    missiles with Russian know-how. Is that a clear and present danger to
    Israel? On another--friends of the United States, the Saudis, will get
    the latest technology from United States. Will that be a danger to
    Israel's qualitative edge? Thank you.
        President Clinton. Let me answer the second question first, and then
    I'll answer them both. First of all, with regard to Saudi Arabia, we
    have had a long and very important defense partnership which persists to
    this day and which has contributed, I believe, to the security of
    Israel. We have not been asked by the Saudi Government for F-16's, which
    I take it is the import of your question, so I will get to the
    specifics. Obviously, any request they would make of us we would have to
    seriously consider. But any decision that I make about that has to be
    made in a way that is consistent with our first commitment which is to
    do nothing that will undermine the qualitative edge of Israeli security
    forces in the Middle East.
        Now, with regard to the second question, we are obviously concerned
    about Iran from many perspectives, not only from the build-up of its
    conventional military forces but also from the continued determination
    of the government to support terrorists in the region and beyond. And we
    are doing what we can to stem the tide of terrorism. And I will say
    again, we will do what we can to make sure that no development in any
    other country that is beyond our control or influence will be permitted
    to erode Israel's qualitative security edge. That is our responsibility,
    and we'll do our best to fulfill it.
        Bill [Bill Plante, CBS News].

    China and Campaign Financing

        Q. Mr. President, your Press Secretary said earlier today that you
    were surprised and concerned by reports that there may have been plans
    made in the Chinese Embassy to funnel foreign contributions to the
    Democratic National Committee this year. Does this give you concern that
    there could be industrial or economic espionage as a target of this? And
    do you think this tips the scales in favor of having an independent
    counsel on the campaign finance question?
        President Clinton. Well, first of all, the--let me answer--the
    second question has and should be answered entirely by the Justice
    Department. The statute about that depends not on the gravity of the
    subject but on what the targets are. And it's fairly well covered. The
    Justice Department has spoken to that and will continue to speak to that
    and will make the decisions. I don't want to have any comment about it.
        On the first, let me say that, first of all, this is a serious set
    of questions raised here. And the first I knew about any of it was last
    evening. They obviously have to be thoroughly investigated. And I do not
    want to speculate or accuse anyone of anything. I do not--I know nothing
    about it other than what I heard last night, which is reflected entirely
    in the article this morning in the Post. But obviously, it would be a
    very serious matter for the United States if any country were to attempt
    to funnel funds to one of our political parties for any reason whatever.
        So I think we just have to let the investigation proceed, and we
    should all support it in every way we can. It has to be vigorous, and it
    has to be thorough.

    Lebanon and Syria

        Q. Mr. President, is it the American view that it's possible to
    reach a settlement in Lebanon without first reaching an overall
    settlement with Syria? And if so, will the American Government do
    something to seek such a solution?
        President Clinton. Well, let me say I would support any reasonable
    efforts to reach a comprehensive settlement with Lebanon that the
    Government of Israel thought was feasible and was willing to undertake.
    I think that we all know what the facts are there, and we all
    understand. You just heard the Prime Minister talk about the problems
    along the border. I think we all understand it would be at least
    certainly

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    a lot easier to do if there were also an agreement with Syria.
        You know, we have a special feeling in this country for Lebanon, and
    we have a lot of the sons and daughters of Lebanon who are American
    citizens now. And it is a particularly grievous thing for us to see the
    relationships between Israel and Lebanon in the position they're in. But
    we have to look at this over the long run. I think that--we have talked
    about this frankly; we've had several conversations about this. We have
    to do what we think is possible, and Israel has to do what we think is
    possible. If it became possible to have a real and meaningful agreement,
    would I be for that? You bet I would. Is it now? I'm not sure.
        And you may want to----
        Prime Minister Netanyahu. I think you said it very well.

    American Airlines Labor Dispute

        Q. Mr. President?
        President Clinton. Yes, John [John Palmer, NBC News]?
        Q. Mr. President, I wondered if you could give us your assessment of
    the impact of a possible American Airlines strike at midnight tomorrow
    night? Have you received the Department of Transportation report on that
    impact and how serious would it be? And would you plan to invoke any
    special powers and keep them on the job through an emergency decree?
        President Clinton. Today I want to say no more than I did yesterday,
    except to reemphasize that it should be obvious to everyone looking at
    this that it cannot be a good thing for American Airlines, but more
    importantly, it cannot be a good thing for the people of the United
    States, and indeed people coming to the United States from other parts
    of the world, for a significant interruption to occur in the operations
    of this airline.
        We've had so many problems with our airlines for several years. And
    now they've been doing quite well for the last couple of years. Our
    administration has worked very hard on that. This is an important part
    of America being seen as a vibrant, reliable, successful nation. And it
    would be quite disruptive if it occurs.
        So I want to say today, I want to reiterate my call to the parties
    to use the mediator and think about how they can reach out to one
    another in the best interest of the Nation as well of American and its
    employees, all of its employees.

    Israel-Syria Peace Talks

        Q. Mr. President, do you really think that Israel and Syria can
    resume the peace talks in an atmosphere like we have today, where
    Hezbollah keeps its terror activity and the Syrian and Iranian support?
    And what are you going to do about it, if anything--if you are going to
    do anything about it?
        President Clinton. Well, actually, we spend quite a lot of time
    trying to do something about terrorists everywhere. We invest a lot of
    our resources and our efforts in working with our friends in Israel and
    throughout the world trying to prevent terrorists from conducting
    successful operations and trying to track them down and punish them and
    extradite them and do what needs to be done when they do.
        So I think our--I think the United States has a clearer, more
    unambiguous position on terrorism, whether it affects our people
    directly or not, than virtually any other large industrial country in
    the world. And I will continue to do that.
        However, it has been obvious for some time to the overwhelming
    majority of people in Israel--which is why the Prime Minister has done
    what he's done and why his predecessors did what they did--that in the
    long run, there had to be a comprehensive peace in the region to end all
    the violence. And I applaud him for doing that.
        When we seek to make peace, we obviously are dealing with people
    with whom we have been angry, angry enough to take up arms, people with
    whom we have not had a relationship of trust. And that is what makes
    every step along the way so difficult. But I think to renounce the
    possibility of peace is not the right course. To stand up to terrorism
    in every way we can is the right course.

    National Economy

        Q. In your economic report of the President, which was released this
    week, you said that the economy's health was the strongest it had been
    in decades. Today the stock market closed at about 7,000 for the first
    time. Are you concerned about the speed of that rise? Do you think it
    may well be justified, given what you see as a pretty strong fundamental
    economy?

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        President Clinton. I think it was 3,200 when I took office.
    [Laughter] And I got a call from a little town in the mountains of north
    Arkansas, from a friend of mine who was talking to his Republican
    stockbroker, who said, ``If it ever hits 4,000, even I will vote for
    him.'' [Laughter]
        Let me say, my own view is that anything we say about this is likely
    to either have no effect or an adverse one. The market has produced a
    remarkable growth, but the economy is growing. Obviously, the concern
    is, you know, are the returns to stocks, returns to investment greater
    than can be justified based on the productivity and profit prospects of
    the companies that are being traded? But if you look at the stability
    and the growth that we've enjoyed and the prospects we have for stable
    growth with no inflation, it's hard to say that it's completely out of
    the question.
        More and more--keep in mind, one of the reasons this market has gone
    up is that just a few years ago only about a third of the American
    people owned stocks, either directly or indirectly through their
    retirement investments and mutual funds; today over 40 percent of the
    American people do.
        So, on balance, this has been a positive thing. Obviously, you
    know--some people say, ``Well, gosh, we don't want another 1987 here.''
    But even after 1987, we had a rather rapid rebound. So I think what I
    need to do is to try to work on keeping the economy healthy. Let's go on
    and balance the budget. Let's invest in our future, and let's try to
    create a better worldwide trading system. Let's follow our strategy, and
    then let the market take care of itself, as long as there is no
    destructive element in it. That's what I think we should do.
        Want to take one more?

    Alleged Hamas Terrorist Abu Marzook

        Q. Mr. President and Mr. Prime Minister, are you considering once
    again the question of bringing Mr. Abu Marzook to trial in Israel?
        President Clinton. The answer to that question is, we did not
    discuss it because it's a matter within the American courts. And there
    is nothing I can do about, nothing the Prime Minister can do about it.
    It's in our courts, and we can't discuss it until it's resolved in the
    courts.
        Prime Minister Netanyahu. I can only reaffirm that. But I can also
    tell you that, Mr. President, like you, I have a habit of not dealing--
    not commenting on our stock market, which has been going up. [Laughter]
    But I will say that when the Israeli stock market reaches 7,000 I will
    comment on it. [Laughter]

    Second Term Cabinet Nominees

        President Clinton. Before I go I have to--since I didn't get a
    question on it, I have--there is one thing I want to say something
    about, just because I've heard it suggested that maybe I don't have a
    great interest in this. I've just literally not been asked about it.
        I have been very well-pleased with the treatment that my nominees
    for the Cabinet have received who have gotten their hearings and been
    taken to a vote. There are still some who have not gotten a hearing yet,
    and let me mention in particular Tony Lake. We've now answered all the
    questions that we've been asked. We've sent it up to the committee. And
    I think he ought to be given a hearing and a vote.
        And I'd like to remind everybody involved in this that it was Tony
    Lake who came up with the strategy that we implemented to end the
    bloodiest war in Europe since World War II. He was a terrific success as
    the National Security Adviser to the President. He has worked in these
    fields for 30 years. He fully understands the intelligence operations.
    He is superbly qualified. If someone has some reason to oppose him, let
    them oppose him in a hearing and then in a vote on the floor. But in
    view of his service, not to me but to this country, and the positive
    consequences of that service, whether it's Bosnia, Haiti, the agreements
    with Russia, you name it, he deserves--his service to this country
    deserved a hearing and a vote on the floor of the Senate. And I hope he
    will get it.
        Thank you very much.
        Q. [Inaudible]
        President Clinton. Well, I obviously feel that way about that, but
    you know, you've got this on the record about that. I think she'll sail
    through if we ever get her to a vote. The same thing about Secretary
    Pena. But I wanted to--I'm on the record, I think, with Alexis. I just
    wanted to be on the record with Tony.

    Note: The President's 135th news conference began at 4:34 p.m. in the
    East Room at the White House. In his remarks, he referred to U.S.
    Ambassador to Israel Martin S. Indyk and Secretary of Labor-designate
    Alexis Herman.

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