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Angela Merkel is prepared to support further sanctions against Iran to halt its nuclear ambitions.

The German chancellor hosted President Bush in Berlin on Tuesday and Wednesday. Following meetings at Germany’s official guest house outside the capital, both leaders said they would continue to seek a diplomatic solution.

But Bush told reporters at a news conference Wednesday that “all options are on the table,” including military. It was Bush’s fifth visit to Germany as president. European Union foreign policy chief Javier Solana will deliver a package of political and technological incentives to Iran later this week provided the Islamic country ends its enrichment of uranium. If Iran continues to refuse, “we will react,” Merkel told reporters. But she also said she wanted to see the latest sanctions enforced, including a ban on cooperation with Iranian banks. Meanwhile, Iran reportedly has threatened a massive attack on Israel in retaliation for a military strike on its nuclear facilities. Speaking Tuesday with reporters, Iran’s Minister of Defense Mostafa Mohammad Nadschar said Iran would deliver a “very painful answer.”

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