Netanyahu aide: Coalition 'courtship' of Livni is over

Israel's right-wing Prime Minister-designate Benjamin Netanyahu has abandoned efforts to woo centrist Tzipi Livni into forming a broad coalition government, a spokeswoman said on Saturday.

The decision, made after a second round of negotiations on Friday ended in disagreement, increased the likelihood that Netanyahu's Likud party would turn to rightist factions opposed to territorial withdrawals in peace talks with the Palestinians.

Livni has accused Netanyahu of being insufficiently committed to the U.S.-sponsored vision of a two-state solution - a future Palestine created in the West Bank and Gaza Strip, territories that Israel captured in the Six-Day War.

Netanyahu, an ex-premier whose popularity was buoyed by jitters at the Islamist Hamas takeover of Gaza after Israel withdrew in 2005, wants talks with the Palestinians to focus on economic and security issues rather than territory.

"The courtship is over. We are not scheduling any more talks with Kadima," a Netanyahu spokeswoman said. "If Livni wants to rethink her approach and contact us, she is welcome to."

Netanyahu on Friday said that he offered Livni full partnership in the government and two of three top ministerial posts, but that Livni had refused his offer for unity.

"It is clear that unity requires compromise," said Netanyahu after his coalition talks with Livni ended without agreement on Friday. "I was prepared to go a very long way toward achieving unity."