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BRIAN NELSON, CNN ANCHOR: For more on the peace process in the Middle East, we're joined now by Raghida Dergham, the senior diplomatic correspondent for the London-based "Al-Hayat" newspaper. She joins us now from New York. Thanks for being with.

RAGHIDA DERGHAM, SR. DIPLOMATIC CORRESPONDENT, "AL-HAYAT": Thank you very much.

NELSON: You just heard Walter Rodgers report on the smuggling -- the attempted smuggling of settlers into the West Bank, the proposal to build new housing units there. Is this a provocation by Israel, or is this just another sign of the minefield that lies ahead in these negotiations?

DERGHAM: Well, it certainly is provocation, and remember that the news came to everybody from the Peace Now movement in Israel. It's an Israeli movement that pointed out that the expansion of the settlements is endangering the peace process, so I think it's also the Israeli public -- part of it anyway -- who understands the dangers of going on and expanding settlements.

The thing is that the Israelis must respect the signatures on the agreement and they must act in good faith. Otherwise, there is a minefield with the issue of the Palestinians. Already we have problems on other tracks, but this one threatens the peace process.

NELSON: The peace talks were entering a critical phase, and on Tuesday, the Middle East envoy, Dennis Ross, is going to intervene on behalf of the United States as a former mediator. Are you at all confident that these talks will proceed toward some measure of success? They have two deadlines, you know what they are.

DERGHAM: Yes, of course, May and September, and I don't think that May -- that the deadline of May would be met. Although, who knows. But I think the American administration, this administration is keen to see to it that the Palestinian track at least moves forward, and we know that the secretary of state will also go later on to the region.

There doesn't seem to be much confidence that these deadlines will be met, and I have a feeling that should the Israelis not really respect these deadlines, I think there will be a problem for the next administration, not only for this one. I don't think this would mean the death of the peace process all together, but the dangers are in a continuity of a sort of an institutionalized peace process without the results and that is dangerous on all tracks.

NELSON: Yes, the Israeli cabinet minister, Shimon Peres is quoted as saying today that there will not be a peace agreement with Syria until possibly after Assad passes from the scene, or after the American election. What do you think about that?

DERGHAM: Well, I think he shouldn't have made the statement, but that's besides the point. I have a feeling there is still a very small hope possibly that the Syrian-Israeli track of negotiations might resume.

This track has been full of surprises. We have the United Nations getting involved in the implementation and bringing together the withdrawal of the Israelis. After 22 years having rejected a resolution for (UNINTELLIGIBLE) implemented, there is a window of opportunity, and if the two parties, the two leaders decided they want this to happen, they can.

There is a way. The formulas are there, but I fear that everyone is escalating right now and everyone has painted himself or the other in a corner, including the United States, I regret to say. So, some magical formula must come out on a political level to move things, because the formulas, the technical ones could be available once the political will prevail.

NELSON: OK, we'll wait and see. Thanks for joining us from New York, Raghida Dergham, thank you.

DERGHAM: I thank you.