The United States faces the prospect of two governments inside Iraq -- one for Kurds and one for Arabs -- after so far failing to win a compromise from the Kurds on a formula to distribute political power when the U.S. occupation ends, according to U.S. and Iraqi officials.
L. Paul Bremer, the chief U.S. administrator in Iraq, twice met with the two main Kurdish leaders over the past week to urge them to back down from their demands to retain autonomy, according to U.S. officials.
But in a new setback for U.S. plans in Iraq, the Kurds have not budged. They insist on holding on to the basic political, economic and security rights they have achieved during a dozen years of being cut off from the rest of Iraq during Saddam Hussein's rule.
"They have a strong hand and they're playing it," a senior administration official said.
http://www.washingtonpost.com/ac2/wp-dyn/A1767-2004Jan8?language=printer