* Annual Intelligence Report: Hizbullah is the Key The annual intelligence report warns of another round of warfare with the Lebanon-based Hizbullah terrorist organization.

* Commander of US forces in the Middle East resigns For Navy Adm. William J. Fallon, the perception of a disagreement with President George W. Bush’s policies on Iran rather than an actual rift was reason enough to step down.

* European Parliament turns 50 The European Parliament has changed profoundly since its talking-shop beginnings in 1958.

* Pentagon: Syria, Iran supporting Iraq terror Despite increased counterterrorism efforts by Damascus, as much as 90 percent of the foreign fighters in Iraq cross the border from Syria.

* Dubai to set up Muhammad museum The Gulf emirate of Dubai has said it is to set up the world’s first museum dedicated to the Prophet Muhammad.

* Abbas agrees to resume peace talks Palestinian Authority President Mahmoud Abbas has agreed to resume peace talks with Israel without prior conditions.

* Iran: Dutch anti-Quran film to ‘breed violence’ Iran warned on Tuesday that an anti-Quran film by a right-wing Dutch lawmaker would “beed violence”.

* Shas urges PM to continue aliyah of Ethiopian Falashmura Shas ministers have asked Prime Minister Ehud Olmert to reverse the decision to halt the aliyah campaign for the Ethiopian Falashmura community.

* Kazakhstan’s search for its identity With their arms folded neatly on the desk, and eyes focused on the teacher, a group of five-year-olds repeat diligently the rasping syllables of their new language.

* Serbs and Russians Oppose EU in Kosovo Serbia and Russia have demanded that the U.N. administration in Kosovo halt the transfer of authority to the European Union.