A dramatic upset in the Labor Party’s leadership contest has revolutionized Israel’s political landscape, after a fiery union leader notched a surprise win over Shimon Peres. The loss by the elder statesman could endanger the country’s shaky governing coalition. Amir Peretz has promised to pull Labor out of Prime Minister
Ariel Sharon’s government, raising the likelihood of early elections. The defeat also could spell the end of Peres’ distinguished, six-decade political career. Peres had been heavily favored to win. Full Story
