The Israeli NGO Peace Now highlights settlements with West Bank flights and its American affiliate APN issues an iPhone settlements app. Israeli officials reportedly offer to exchange a settlement freeze for Jonathan Pollard. John Hughes says Syria may be the key to peace. Pres. Abbas meets with Pres. Peres. The EU contributes €3.5 million to Gaza reconstruction. PM Netanyahu says Israel wants to keep troops on the eastern border of a Palestinian state. A Palestinian citizen of Israel accused of espionage accepts a plea agreement. The Quartet urges Israel to extend its partial settlement moratorium. US officials are concerned talks may collapse over the issue. Hanan Ashrawi says Hamas is trying to replace the PLO. Interior Minister Yishai calls negotiations “completely pointless.” Israeli and Palestinian chief negotiators will meet soon. Abbas says Israel is free to define itself. The controversy over a book authorizing the killing of non-Jews continues. A Gaza water park temporarily shut by Hamas is torched. Linda Heard says Arabs must get involved in the negotiations.