Q: Mr. Secretary-General, you had this commitment from both sides in the past. What makes you sure that this time they will respond to this commitment, and that they can overcome the difficulties that exist in this procedure so that they can come up with some sort of result by the end of June?

SG: Well, as you know I had separate discussions with them and then we came together yesterday evening, and I know that as I have indicated in my statement, there are some differences on the substance and on timing, but having spoken to both sides and analyzed it for myself, I believe that it can be done if there is will. And I know that Mr. Denktash has indicated that he felt that June might be too soon. But I think it can be done if the will is there, and I hope they will find the inspiration to do it. I think with [a] will and inspiration, we have been working on that, and I hope it will be there and I think in the discussions I had, my sense is that the two men can do it if they find the will and the timetable of June, in my judgement, can be met, if they focus on the core issues now in a spirit of give-and-take. And from the discussions I had with them and the encouragement I have given them, I hope they will move ahead in that spirit.

Q: Mr. Secretary-General, you had the chance of visiting both sides, you had even a tour of both sides, so I am sure you have a kind of sharp image of the kind of contrast between the two sides. What kind of feeling is that for a UN Secretary-General to observe by himself, by his eyes, the direct effect of an embargo towards the people going on for about 30 years?

SG: Apart from what I saw on the ground and I also visited the line this morning, noticing the waste and assets that could be put to good use if one were to come to peace. I also had written messages from people and I saw in the eyes of people that they would want to see peace on this island. It was interesting. I had come to encourage them, but wherever I went they were encouraging me and praying for peace and hoping that I can convince the leaders to find the inspiration to bring peace to them. My message to the leaders was that I hope they will find the inspiration and as I said, this is an historic occasion and we have to really try and do it this year and I think it can be done. And the core issues and these issues we've discussed for a long time, and I think if both sides were to move away from the entrenched positions and proceed on a genuinely determined basis, and on a give-and-take basis, we will make progress. But I feel for the people. I felt their desire for peace, and I can assure them that on my side, as UN Secretary-General, I and the organization are going to work with the two leaders to bring peace as soon as we can and I think this is the moment. That is why I am here to encourage the leaders to move forward.

Q: Mr. Secretary-General, without playing with words, can we safely report that you have succeeded in getting the two leaders to work out a break-through so that there will be a draft agreement before the end of this year?

SG: When I left New York, I was asked that question and I said that one should not expect miracles from such a short trip. What is important is perhaps the message I leave with the leaders and as I said, having spoken to them, I still believe we can make substantial progress by the end of June despite the doubts on the part of Mr. Denktash and I would urge him and everyone concerned to really focus on the core issues so that we can move forward. I genuinely believe that if they focus on the core issues and put the interests of the people first and are determined to make peace, it can be done and it can be done this year.

Q: Are you prepared, apart from the inspiration, to put some concrete ideas on the table to help the two leaders find a solution by June?

SG: I have indicated to them that I am prepared to help them, to assist them and to facilitate the talks. My representative here, Mr. Alvaro de Soto, who is on the ground, will help them in the coming months as we move ahead, and I myself will stay close to the process from New York.

Question: Are you going to call Mr. Denktash and Mr. Clerides to New York for intensive negotiations?

SG: The main thing is that they have intensive negotiations and they can take place here on the island or elsewhere. If they do it on the island and we get results, they don't have to come to New York to do it. What I told them is that if they succeed, I will join them here so that we can all lift a glass of champagne and celebrate.

Q: Sir, as the representative of the UN, will you take a stand on the core issues of twin recognition of sovereignty for both sides. Is this on or off?

SG: As I said, the issues are on the table being discussed by the two leaders and I have defined the core issues I want them to focus on and they have indicated all issues are on the table. And therefore these issues are under discussion between them and I hope at the end of it they will have a solution they can both live with and we can all live with.

Q: What about you, sir - do you have an opinion on this?

SG: It is not my opinion that counts. It is the outcome of the negotiations which we are pressing them to do, because they have to come up with an agreement and a mutually acceptable solution that they can work with and we are here to help them, steer them to reach that conclusion, not to impose any ideas or conclusions on them.

Q: It has been said that the prospect of entering and membership of the EU will serve as a catalyst for a solution. Can it bring a more balanced solution?

SG: I think that when the two leaders came together in December, one of their hopes was that they would conclude negotiations for a reunited Cyprus to enter the European Union with the next wave. If that were to happen, it would be in the interests of the Gk/Cyps and the Tk/Cyps. It would be in the interests of this island and it would be in the interests of the region, and this is why I would want all of us to work towards that goal and I have also urged the neighbouring countries to sustain and support this effort.

Q: Certain press reported today that you are going back empty-handed. Do you agree with that?

SG: Well, the press seems to know more than I do. They seem to know more than I do because I think if they had listened to what I said on arrival and what I said before I left New York and the objective with which I came here, that kind of statement would seem to be inappropriate. I came as I said to press and encourage the leaders to intensify their efforts so that we can make good progress in the coming period and to offer to help them to do that, and this is what I came to do and I think I am going away satisfied. I am satisfied.

Q: Will Mr. de Soto remain the facilitator of these talks or will he be able to play a much more energetic and productive role by producing ideas, papers, non-papers or whatever?

SG: Mr. de Soto will stay on the island as long as it takes, and I think for the moment he's going to stay here until the end of June, which is the target date at which point we will make an assessment to see how far we have cracked the core issues and then look ahead. And of course, it is not just Mr. de Soto. I, myself, in the spirit of my Good Offices, will be helping the process along, so both of us will assist the parties as we move forward.

Q: What does "assist the parties" mean? Are you just facilitating or are you going to produce papers and help the parties overcome the difficulties?

SG: I think the negotiations have their own rhythms that you follow. And there are times when one does much more and there are times when one does less, and we will do whatever it takes to help the parties get to the successful conclusion.

Q: Mr. Annan, on the issue of equality and sovereignty, what can you do to satisfy the Turkish people?

SG: The question of structures and powers which I have indicated when I talk of governance, all this is part of the discussions that the two leaders are having and I think it would be inappropriate for me to tell you what I think they should do.

Q: From the positions the two leaders expressed during your meetings, would you say that you leave Cyprus more confident than you were before you came here? And that a settlement can be reached by June?

SG: I think a resolution can be reached, and I think I answered that question already - that when you talk of a resolution being reached by June I don't know how you define that, but what I have said is that we should focus on the core issues and be able to resolve the core issues. And if you resolve the core issues by June and begin to put them in writing, you know you're beginning to see the end of the tunnel and you're making progress. I am not saying that by June they should have a signed and sealed agreement, but at least they should be able to have resolved the core issues. Thank you very much. *****