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Russia, Ukraine working on cease-fire plan

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KIEV, Ukraine - Right now President Obama is in Europe talking to members of NATO about the crisis in the Ukraine. At the same time, Russia's President Vladimir Putin offers a plan for peace, even though most in the international community blame him for the violence. FOX's James Rosen explains why some say Putin's plan is all for show.

Outside the US Diplomacy Center, a new museum heralding the work of American diplomats, Secretary of State John Kerry broke ground with 5 predecessors, including 2, Henry Kissinger and James Baker, who date back to the Cold War. That experience surely applies today, with Vladimir Putin orchestrating what many call an invasion of eastern Ukraine. Arriving in Mongolia, the Russian President outlined a 7-point plan to end the Ukrainian conflict that he said he had written on the plane ride over, and whose first 2 points he spelled out.

"To end the active offensive operations by the armed forces and armed units of the militia in Ukraine's southeast," says President Putin. "Secondly, to pull back the armed units of Ukraine to a region that excludes the shelling of populated areas."

While the government in Kiev had earlier touted the deal.

"We had a long talk with Putin on the phone," says Ukrainian President Petro Poroshenko. "There is only one aim. How can we be against peace?"

Pro-Russian rebels quickly disowned the agreement, and even the Kremlin said it lacks authority to sign it. Assuring the Baltics and other former Soviet States that a robust NATO presence means they will never again lose their independence.

President Obama in Estonia said US and European sanctions are imposing a "major price" on Putin and his people.

"The Russian economy has slipped into recession," says President Obama. "Its energy production, which is the engine of the Russian economy, is expected to drop. Its credit rating is near junk status. The rubble just fell to an all-time low. In short, Russia's actions in Ukraine are weakening Russia."

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