M.J. Rosenberg sums up the whole mess in the following brief analysis, so you can skip all the links below (he suggests that if Dennis Ross had offered Alaska, Netanyahu might have gone for the deal): http://tpmcafe.talkingpointsmemo.com/2010/10/03/tell_israel_freeze_settlements_or_we_slow_down_the/#moreThe White House has denied the following story. But on the grounds that the ideas were floating around somewhere (maybe in Dennis Ross's head), we can see how desperate Mitchell, Clinton, and Ross may be as the Palestinians leave the table."An article published on Wednesday on the website for the Washington Institute for Near East Policy by David Makovsky, a researcher with ties to Dennis Ross, Barack Obama's chief advisor on the Middle East, reported that Obama had written a letter Netanyahu in which Obama offered to support the presence of Israel Defense Forces soldiers in the Jordan Valley even after the establishment of a Palestinian state, if Israel would agree to a two month settlement building freeze. ..."Obama's letter was said to include a long list of American favors in exchange for an extension of the settlement building freeze...."Other commitments that Obama reportedly offered Netanyahu in the letter include an agreement not to ask for any more building freeze extensions, an agreement to veto any anti-Israel UN Security Council resolution in the next year, and...."Obama's letter was said to include additional commitments, including a series of guarantees to prevent the smuggling of weapons and missiles into a Palestinian state, a lengthy period of interim security arrangements in the Jordan Valley and a comprehensive regional defense pact for protection from Iran to follow the establishment of the Palestinian state."And much, much more!The denial http://www.haaretz.com/news/diplomacy-defense/white-house-obama-did-not-send-letter-to-netanyahu-1.316491The original story: http://www.haaretz.com/news/diplomacy-defense/obama-in-personal-appeal-to-netanyahu-extend-settlement-freeze-for-two-months-1.316450And the original story, which refers to this as a "draft" letter: http://www.washingtoninstitute.org/templateC05.php?CID=3256And here is the NYTimes version: http://www.nytimes.com/2010/10/01/world/middleeast/01mideast.html?_r=1&hpAnd there's more: Netanyahu has rejected an offer written by: "Obama adviser Dennis Ross, who is the moving force behind the letter, is believed to have encouraged Obama to change his policy toward Netanyahu in order to come off as friendlier. Ross reportedly worked with Barak and Molho on the letter during the UN General Assembly in New York." http://www.haaretz.com/print-edition/news/pm-rejects-u-s-guarantees-in-exchange-for-renewing-freeze-1.316517UPDATE: MJ Rosenberg sums up:"So it's back to the drawing board. Maybe Ross can give Bibi one of the 50 states (Alaska!)." http://politicalcorrection.org/fpmatters/201010010010