I BEHIND THE HEADLINES I Was U.S. Afraid To Call Bus Action 'Terrorism'? Some Israelis are deeply disturbed by Washington's reluctance to condemn the tragedy as an act of terrorism. LOUIS RAPOPORT Israel Correspondent y We can't provide one during your flight to Israel. But how about the night after? Try as we might,. at EL AL, we're unable to offer these kind of accommodations on our 747s. But we'd be happy to offer you them at one of Israel's deluxe Dan Hotels (including The King David) or a Kibbutz Guest House. Free. It's our Early Bird Special. Which, as the name implies, means you simply have to purchase any EL AL roundtrip ticket for travel to Israel this winter (even our low $699 ticket) before September 15th. Then when you get to Israel, you'll get a free room for a night. Your spouse will get a free room for a night. (If all is going well, you may want to share the same room for two nights.) Pleasant dreams. Tickets valid 11/13/89-3/31/90 excluding 12/15-12/24/89. 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Israelis are us- ed to living close to the edge, but it hasn't been quite like this since the Yom Kippur War in 1973, when it was first learned that the enemy was threatening Israel's heartland. Bus Number 405, hurtling over the precipice on the Jerusalem-Tel Aviv highway after a Palestinian Moslem fundamentalist grabbed the wheel, was more than an ug- ly act of terror and a terrible tragedy. Many felt it might be a taste of what is to come, that all of Israel — Jews and Palestinians alike — are on a precipice of sorts, facing disaster. In the streets of Israel, numerous small in- cidents between Jews and Arabs that drove the point home. As of the beginning of this week, the United States refused to characterize the at- tack on the bus, in which 14 Israelis and foreign tourists were slain, as a terrorist act. The Palestine Liberation Organization, of course, also did not think it was terror, merely "reaction," "frustra- tion," the "consequences of Israeli intransigence." And Washington, though natural- ly deploring the act, seemed reluctant to call it one of ter- ror because the U.S. talks with the PLO were predicated on and conditional upon the PLO's renunciation of terrorism. A stark contrast was provid- ed over the weekend (July 8) when Radio Moscow referred to the bus attack as "ter- rorism against innocent civilians." The U.S. ambassador here, William Brown, was called to the Foreign Ministry on Sun- day and officially informed of Israel's displeasure over the Americans' mischaracteriza- tion of an obvious act of ter- ror in the heart of Israel. And American sources here and in Washington said later that the State Department spokesman would probably define the attack as "ter- rorism" at the Monday brief- ing. But the damage had already been done, and the United States is not about to end its talks with the PLO. Last week, the United States confirmed reports emanating from the PLO that the Americans have upgrad- ed their talks with the PLO, and that Yassir Arafat's No. 2 man, Salah Khalaf (known as Abu Iyad), has met with Am- bassador Robert Pelletreau, who was once a hostage of PLO terrorists, in the ongoing talks in Tunis. The PLO leadership is rightfully proud of its accomplishment, and boasted of it to a Kuwaiti newspaper, which broke the story. Prime Minister Shamir's aide Yossi Ahimeir told me over the weekend that the prime minister registered _ Israel's concern over the The damage has already been done, and the United States is not about to end its talks with the PLO. upgraded contacts with the PLO during a meeting last week with visiting Sen. Orrin Hatch of Utah. Shamir reportedly said that if the U.S. meets with the No. 2 PLO man, "they'll be meeting with Arafat next." Although he was careful to say that the U.S. refusal to condemn the bus attack as an act of terror won't hurt rela- tions between Israel and the United States,- Ahimeir was only being diplomatic. The delay in terming the attack terrorism shows that Israel's staunchest friend and ally may be backing away from Jerusalem, repeating the kind of errors it made in Iran, when other "agents of in- nocence" from the CIA helped pave Khomeini's way. Ahimeir said that the bus atrocity "is something we think makes clear just what is the Arab approach to human life, to their future and our future in the Middle East." That the Americans did not condemn it as ter- rorism clearly shows what kind of enemies we are stan- ding against. We are em- phasizing to the Americans the negative aspects of U.S. contacts with the PLO." The Americans are sending a top-level State Department delegation next week headed by Deputy Secretary Larry 4