Coalition Pact Calls for Bill Making Israel Jewish First, Democratic Second

Netanyahu tells Peres he has formed a new government; coalition agreement with Yesh Atid gives party five ministries; agreement with Habayit Hayehudi includes clause on territories.

The coalition agreement signed Friday between Habayit Hayehudi and Likud-Yisrael Beiteinu calls for a controversial bill for a Basic Law that would make the state's democratic character subservient to its Jewish character.