Israel Threatens to Renew Attacks

Israeli Prime Minister Ehud Olmert, left, shakes hands with Egyptian Foreign Minister Ahmed Aboul Gheit, prior to their meeting in Jerusalem, Wednesday, Dec. 27, 2006. Olmert and Egyptian President Hosni Mubarak will meet in the Red Sea resort of Sharm el-Sheik on Jan. 4, Olmert's office announced Wednesday. (AP Photo/Oded Balilty) (Oded Balilty - AP)

Israel's threats of retaliation could harm its recent efforts to bolster Abbas in his standoff with Hamas. After meeting the Palestinian leader last weekend, Olmert agreed to release $100 million in frozen Palestinian tax money and to ease travel restrictions on Palestinians in the West Bank as goodwill gestures.

Israeli Foreign Minister Tzipi Livni said limited military strikes in Gaza should not lead to widespread conflict.

"As long as operations are prudent and pinpointed, there is no reason for things to deteriorate," Livni said at a news conference with visiting Egyptian Foreign Minister Ahmed Aboul Gheit.

Aboul Gheit, in Jerusalem to prepare for a Jan. 4 summit between Olmert and Egyptian President Hosni Mubarak, urged Israel to show restraint. "We need to continue with the peace process because that is the way to progress," he said.

In Egypt, Abbas said he had proposed opening secret "backdoor" peace negotiations with Israel.

"It is the right time to talk about this issue seriously," Abbas told reporters after he talked with Egyptian President Hosni Mubarak. Abbas said he raised the issue with Olmert last weekend, and the Israeli leader promised to consider it.

There was no immediate Israeli reaction.

The endangered truce in Gaza ended five months of fighting that erupted after Hamas-linked gunmen tunneled into Israel, killed two soldiers and captured a third. Egypt, which frequently mediates between Israel and the Palestinians, has been trying to negotiate the release of the soldier, Cpl. Gilad Shalit.

At Wednesday's news conference, Aboul Gheit said that "we are sure that he is still alive."

Shalit has not been seen or heard from since he was captured, though Israeli officials have said they believe the soldier is alive.

"What he said is nothing new," Noam Shalit, the soldier's father, told The Associated Press. "I hope there is more behind it ... I wish we could know more."