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Palestinian Leader Yasser Arafat last week broke a long silence by giving TIME's Wilton Wynn and Abu Said Abu Rish his first exclusive interview since September 1975. The scene was his secret, map-lined "operations room" on the outskirts of Beirut, his mood one of amiability and drive, even though he was noticeably fatigued from a long day of hospital and cemetery visits. Surprisingly, Arafat insisted that the war in Lebanon had left his Palestine Liberation Organization stronger than before. He indicated for the first time that the P.L.O. was prepared to accept statehood alongside Israel, at least temporarily, in lieu of a larger state including all of what was Palestine, but protested that Palestinians were being shut out of Middle East peace negotiations and denied contacts with the American people. The interview:

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Q. What does the Israeli buildup on Lebanon's southern frontier mean?

A. I believe that what has happened in Lebanon was partly initiated by the Israelis. This is clear from Israeli pronouncements and the supplies and support they have given to the isolationists [a derisive Moslem term for Lebanese Christian rightists]. The military concentration is an extension of what has happened and is still happening in south Lebanon, where at least seven villages are occupied by isolation forces supported by Israel. This is a threat to our forces, who must be situated in the south under the Cairo agreement. It is also a threat to the Syrian peace-keeping forces, which are being told not to cross a "red line" that seems to be movable.

Q. Was the P.L.O. weakened by the Lebanese war?

A. The war did keep us preoccupied for a long time. But instead of being weakened, we gained valuable military experience. Politically, you can see that we are stronger by noting the recent United Nations vote calling for the establishment of a Palestinian state. Ninety nations voted for it. Remember, those states don't cast their votes out of mere sympathy.

We also showed our strength at recent Arab summits [Riyadh and Cairo], whose resolutions not only reaffirmed that the P.L.O. was the legitimate representative of the Palestinian people, but developed that idea by emphasizing the right of the Palestinian people to establish an independent state in their homeland. These are major victories.

Q. In the past you called for a united Palestine where Arabs and Jews would live together. Has this view changed?

A. We are prepared to establish an independent regime in any territory that we liberate or from which Israel withdraws. We have some reservations about the recent U.N. resolution, but we still consider it a victory for our cause. Remember, the resolution was introduced by a 20-state committee and not by the P.L.O. This is important.

Q. Does this mean you will accept a West Bank-Gaza state if it is offered?

A. I follow the resolutions [passed in 1974] of our Palestine National Council, which state that we will establish a national authority on any part of Palestine liberated from Israel or which Israel will evacuate. This is clear.

Q. President Sadat of Egypt has launched a peace offensive aimed at a negotiated settlement with Israel. To what extent will you cooperate?

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