ARAFAT'S DEAD AND ALL THINGS ARE POSSIBLE:

Arafat loyalists lose out in compromise deal (SORAYA SARHADDI NELSON, 2/23/05, Knight Ridder Newspapers)

Rebellious Palestinian legislators on Wednesday pushed more Yasser Arafat loyalists out of the Cabinet in a compromise struck after the intervention of Palestinian leader Mahmoud Abbas.

The political struggle leading to the deal reflected the restiveness and growing power of the younger guard of legislators. They've long been angry over the unwillingness of leaders who returned from exile with Arafat more than a decade ago to share power with the homegrown generation of Palestinian politicians.

With an election looming in July, legislators are also anxious to show a commitment to a financial and political overhaul of the Palestinian Authority, which has been plagued with corruption. They're particularly worried about the success of the Islamic militant group Hamas in recent local elections, fearing that Hamas candidates may put in a strong showing in July's election as well.

Under the agreement reached at a closed-door meeting between Prime Minister Ahmed Qureia and legislators from the dominant Fatah political faction, only two of the old guard - Qureia and the man he wants for his deputy, Nabil Sha'ath, will remain in the 22-member Cabinet to be ratified by the full Palestinian legislative council Thursday afternoon.