From the Times UK:
Barack Obama is to pursue an ambitious peace plan in the Middle East involving the recognition of Israel by the Arab world in exchange for its withdrawal to pre-1967 borders, according to sources close to America’s president-elect.
Obama intends to throw his support behind a 2002 Saudi peace initiative endorsed by the Arab League and backed by Tzipi Livni, the Israeli foreign minister and leader of the ruling Kadima party.
The proposal gives Israel an effective veto on the return of Arab refugees expelled in 1948 while requiring it to restore the Golan Heights to Syria and allow the Palestinians to establish a state capital in east Jerusalem.
On a visit to the Middle East last July, the president-elect said privately it would be “crazy” for Israel to refuse a deal that could “give them peace with the Muslim world”, according to a senior Obama adviser.
Pretty sweet.