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New US plan sees Palestinian state in 2012 but Israel wary

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The latest US proposal for Middle East peace envisions a Palestinian state within two years, according to Egyptian officials cited in a report Monday – a goal immediately dismissed by Israel as unrealistic.

The report came amid a flurry of shuttle diplomacy ahead of the visit soon by George Mitchell, US President Barack Obama's special envoy to the Middle East. Mr. Mitchell is expected to push for a restart of stalled talks between Israelis and Palestinians. After a disappointing 2009 the Obama Administration is expected to recommit itself to resolving a conflict that has defied diplomatic solutions for decades.

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