Inside Report (3)

Will Hussein and Arafat be able to bridge the gap during Dec. 11 discussions?

Despite their agreement in principle on the formation of a joint delegation to future talks on Mideast peace, Jordan and the Palestine Liberation Organization have not agreed on the peace plan they will discuss in talks. Nor have they decided who will preside over the negotiating team.

A member of PLO chairman Yasser Arafat's inner circle says the PLO will insist that the delegation be called ''Palestinian-Jordanian,'' maintaining a separate-but-equal status for the PLO, and that its leadership should be rotated between Arafat and Jordan's King Hussein. It will seek talks on the basis of combining the Fez Arab summit peace plan with the Reagan plan or, at best, assurances that the talks could lead to the formation of a Palestinian state in the West Bank and Gaza.

This source claims, however, that combining the two formulas would not be easy, and that the US could resist granting the PLO equal status even if King Hussein agreed.

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