Sharon Deputy Calls for Wider Withdrawals From West Bank

Labor leader Shimon Peres agreed to accept a Cabinet post as a vice premier but not serve as a stand-in for the prime minister. That task is performed by Olmert, and the legislative change required to create a second position with that authority could take weeks, holding up the formation of the coalition between Labor and Sharon's conservative Likud Party. Labor favors the settler and troop withdrawal.

Sharon could present the new coalition to the parliament, or Knesset, as early as Monday.

The prime minister said he needed Labor to shore up his government to carry out the withdrawal, which is opposed by most settlers and their allies. Sharon fired the centrist Shinui Party this month in a dispute over the budget, leaving him with only Likud's 40 votes in the 120-member Knesset. With the addition of Labor's 22 seats, he will be able to muster a majority.

On Thursday, officials announced the first advance payment to an Israeli business that will relocate as part of the Gaza withdrawal, Israel Radio reported. The factory next to the Erez crossing between Gaza and Israel will move to the city of Ashkelon, about nine miles to the north.

Meanwhile, violence in the city of Khan Yunis in the southern Gaza Strip left five Palestinians dead. They included a 20-year-old man described by Palestinian officials as mentally disabled. Israel said it was investigating the report.

Early today, two more Palestinians were killed during an Israeli airstrike, Palestinian officials said.

The deaths brought to 10 the number of Palestinians killed during Israel's latest incursion into Khan Yunis to prevent militants from firing rockets into nearby neighboring settlements. At least 23 people have been injured.

Israeli military officials said the settlements had been hit by more than 55 mortar rounds and crude Kassam rockets during the last week.