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Q: Thank you, Mr. President. Iran has indicated that it will defy the U.N. on nuclear enrichment. It's been holding military exercises, sending weapons and money to Hezbollah. Is Tehran's influence in the region growing, despite your efforts to curb it?

THE PRESIDENT: The final history in the region has yet to be written. And what's very interesting about the violence in Lebanon and the violence in Iraq and the violence in Gaza is this: These are all groups of terrorists who are trying to stop the advance of democracy. They're trying to thwart the will of millions who simply want a normal, hopeful life. That's what we're seeing. And it's up to the international community to understand the threat.

I remember right after Hezbollah launched its rocket attacks on Israel, I said, this is a clarifying moment. It's a chance for the world to see the threats of the 21st century, the challenge we face.

And so, to answer your question on Iran, Iran is obviously part of the -- part of the problem. They sponsor Hezbollah. They encourage a radical brand of Islam. Imagine how difficult this issue would be if Iran had a nuclear weapon. And so, therefore, it's up to the international community, including the United States, to work in concert to -- for effective diplomacy. And that begins at the United Nations Security Council.

We have passed one Security Council resolution, demanding that Iran cease its enrichment activities. We will see what the response is. We're beginning to get some indication, but we'll wait until they have a formal response. The U.N. resolution calls for us to come back together on the 31st of August. The dates -- dates are fine, but what really matters is will. And one of the things I will continue to remind our friends and allies is the danger of a nuclear-armed Iran.

But, no, you're right, this is a -- they're a central part of creating instability, trying to stop reformers from realizing dreams. And the question facing this country is, will -- do we, one, understand the threat to America? In other words, do we understand that a failed -- failed states in the Middle East are a direct threat to our country's security? And secondly, will we continue to stay engaged in helping reformers, in working to advance liberty, to defeat an ideology that doesn't believe in freedom?

And my answer is, so long as I'm the President, we will. I clearly see the challenge. I see the challenge to what these threats pose to our homeland, and I see the challenge -- what these threats pose to the world.

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Q: Mr. President, as you mentioned, we're just 10 days from the U.N. Security Council deadline on Iran. Judging by the public comments from the Iranians, it appears at least highly unlikely that they're going to stop or suspend their enrichment program. Are you confident that the U.N. Security Council will move quickly on sanctions if Iran thumbs its nose at the world again?

THE PRESIDENT: I certainly hope so. In order for the U.N. to be effective, there must be consequences if people thumb their nose at the United Nations Security Council. And we will work with people in the Security Council to achieve that objective, and the objective is that there's got to be a consequence for them basically ignoring what the Security Council has suggested through resolution.

Q: Understanding that diplomacy takes time, do you think that this could drag out for a while?

THE PRESIDENT: You know, I don't know. I certainly want to solve this problem diplomatically, and I believe the best chance to do so is for there to be more than one voice speaking clearly to the Iranians. And I was pleased that we got a resolution, that there was a group of nations willing to come together to send a message to the Iranians -- nations as diverse as China and Russia, plus the EU3 and the United States.

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