Disputes 'between friends': Obama, Netanyahu at WH - Yahoo! News:
"Obama said in his speech on Thursday that the United States supports creation of a Palestinian state based on the border lines that existed before the 1967 Six Day War in which Israel forces occupied east Jerusalem, the West Bank and Gaza. The comment drew angry criticism in Israel, and Netanyahu made clear after meeting with Obama that the idea was unacceptable. 'We cannot go back to those indefensible lines,' said Netanyahu."

Translated Netanyahu: If we go back to the 1967 borders, we will be unable to defend the land we stole and occupy illegally since then.