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PA HARBOR ISLAND SPA Long Branch, NJ ATLAS AMBASSADOR KOSHER TOURS 25 W. 43 Street, NYC 10036, 212 575-8840 Outside N.Y. State Toll Free 800.752-8000 tative steps towards peace with Israel's Arab neighbours. In the process, he had dram- atically calmed the super- heated public debate — and won a measure of confidence that would have been unthink- able just a year ago. All this while workers have watched the value of their salaries erode by up to 30 per cent over the past five months. No one is more surprised by this dramatic turnaround in political fortunes than Mr. Peres himself. It is a popular- ity that has been achieved by his steady, moderate leader- ship and by tireless visits to those once-dreaded develop- ment towns and factories. The prime minister finds it difficult to adjust to the out- pouring of affection he encoun- ters these days: "It warms the heart, but I'm not used to it," he acknowledges. "Sometimes when they smother me with love, I simply don't know what to do with it." Noted one political observer in the mass-circulation He- brew-language daily Yediot Ahranot: "Once people said that they wouldn't buy a used car from this man. Today, they'll buy anything from him." But the larger question mark that now hangs over the born-again career of Shimon Peres is whether, in the wake of the spy scandal, the Reagan administration will be pre- pared to deal with a political leader who is described by one senior State Department of- ficial as having "stabbed me in the back." In the event, observers in Jerusalem are not yet writing the political obituary of Prime Minister Peres, for it is con- sidered unlikely that Wash- ington will force him to pay the supreme price for the affair. While Mr. Peres may have presided over a goverment that has deeply wounded Washington, they say, his style and his political posi- tions — on both foreign and domestic affairs — are closer to that of the Reagan admini- stration than those of any other Israeli leader. Moreover, if Mr. Peres were to be forced from office now the carefully crafted national unity government would come tumbling down. And the conse- quences of such an eventuality are fraught with danger. For in spite of his strong showing in the polls, it is by no means cer- tain that Israel's volatile elec- torate would return him to power. Having tasted seven years of Likud administration — emotional, tempestuous, unpredictable, sometimes reckless years — Washington is perceived as having a power- ful interest in sustaining the Peres government; indeed, po- litical observers in Jerusalem believe Washington would be prepared to pay almost any price — in economic or political 'terms — to keep Peres in office. For Washington's greatest fear is not that Israel might have got its hands on some super-sensitive intelligence material regarding its Arab neighbors, but that Mr. Peres and other forces of moderation will be swept aside by the powerful coalition of religious and nationalist extremists who are poised in the wings, wait- ing for Mr. Peres to stumble. While Mr. Peres has been vigorously pursuing peace with Jordan and a resolution of the Palestinian problem, Mr. Ariel Sharon — the architect of Israel's war in Lebanon and now minister of trade — ac- tively advocates a military strike against Jordan to de- stroy the bases of the Palestine Liberation Organization there. That is not the sort of talk officials in Washington want to hear. Nor is Mr. Sharon — who has shown a distinct im- patience for the painstaking diplomatic process and a de- cided perference for the instant solution that flows from the barrel of the gun — the sort of leader they want to deal with. But if Mr. Peres is brought down now, that is precisely the predicament they may be forced to contend with. Thus, ironically, for all the poison that may have entered the relationship between Washington and Jerusalem and all the trust that may have been shattered as a result of the Pollard spy scandal, it is likely to be Washington which now finds itself pulling Mr. Peres's irons out of the fire and saving the Israeli leader's political skin. Church Awaits Right Moment Rome (ZINS) — Johannes Car- dinal Willebrands, head of the Vatican Secretariat for Christian Unity, said conditions were not yet right for the church to ask Jews to forgive Catholics for past persecution. Cardinal Willeb- rands said relations between the church and Jews must improve further in order for such a decla- ration to be well understood and well received. A petition asking for such ac- tion had been sent to the Cardinal by Catholics in the Rome area. He emphasized that the Second Vati- can Council had condemned all forms of anti-Semitism and any persecution of Jews.