Israeli threat unites Hamas, Fatah

"It is a national program. Palestinians will not negotiate with Israel on this basis," says Jamal Nazzal, a Fatah spokesman. "The advantage of it is that Palestinians will not block the way of each other anymore."

But it remains to be seen whether Hamas and Fatah field commanders will honor the commitment. One commander from the Fatah-affiliated Al Aqsa Martyrs Brigade described the agreement as more of a temporary cease-fire postponing an inevitable civil war.

Palestinians from Fatah have complained of a "two-headed" government pulling in opposite directions. While President Abbas has called on the newly elected Hamas politicians to join peace talks with Israel, the Islamic militants have remained steadfast in their opposition to recognize the Jewish state or forswear military attacks on Israel.

The US and the European Union both consider Hamas a terrorist group for its endorsement of suicide bombings against Israel, and have led an international aid boycott of the Palestinian Authority (PA). That has emptied government coffers and compounded economic hardship.

For Hamas's Haniyeh, the agreement with Abbas could potentially bolster his credentials abroad after most governments shunned Hamas. It also props him up amid tension with Hamas hard-liner Khaled Meshal in Damascus.

"People usually unify at the times of crisis," says Ghassan Khatib, a former Labor Minister under Abbas. "I think the prime minister particularly is in need of the president nowadays, especially given that there seems to be difficulties inside of Hamas."

The concessions won by Abbas, on the other hand, gives him ammunition to counter critics who have described him as a lame duck after Hamas's electoral victory, analysts say.

Mr. Khatib continues, "The president has always been interested in such an agreement, because this will make him stronger internally and externally." Fatah officials told Reuters that a signing ceremony was planned for Tuesday evening on the accord.

Many have criticized the agreement for language so vague as to allow radically divergent interpretations. While saying he supported the agreement, Hamas legislator Wael Husseini insisted that the accord doesn't mark a departure from Hamas's traditional opposition to Israel's existence.

"We will never recognize the legitimacy of Israel inside the 1948 borders," he says, referring to the dimensions of the Jewish state accepted by most of the international community. "That doesn't mean we don't recognize the existence of the Israelis. We recognize the existence of Israel but not on our land. We don't give Israel anything in return for withdrawal."

Meanwhile, the militants holding Corporal Shalit issued their first demands Monday. The groups, which included Hamas's military wing and two offshoots of the Popular Resistance Committees (PRC), said Israel should release all jailed Palestinian women and children under 18 in return for information about Shalit. Officials estimate there are 500 such prisoners.

"The soldier is in a secure place that the Zionists cannot reach," PRC spokesman Mohammed Abdel Al said. It was the first acknowledgment by militants that Shalit was still alive.

About 3,000 Israeli troops, along with tanks and armored vehicles, have massed along Israel's border with Gaza. Commanders said they were awaiting orders.

• Wire material contributed to this report.

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