Ariel Sharon, the Israeli prime minister, held out the possibility of offering Yassir Arafat, the Palestinian leader, a "one-way ticket" into exile. Mr Arafat is currently under siege by Israeli forces in his Ramallah headquarters. However, Colin Powell, US secretary of state, said that Mr Arafat still had an important role to play in the peace process and the US did not agree with expelling him. In a separate development, Palestinian gunmen battled Israeli troops in Bethlehem on Tuesday as Israel invaded more West Bank towns after a wave of suicide bombings it blames on Yasser Arafat, now a virtual captive in his own headquarters, Reuters reported. Israeli Prime Minister Ariel Sharon has said the military campaign is aimed at "rooting out terrorists." Palestinians say Israel wants to destroy their struggle for independence.

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