And the last option is....

With it's main proponent Zelikow having been recently pushed out at State, I think this idea is DOA. Like many of the other "leaks" recently, I believe this "solution" is being pushed out in an attempt to influence behavior.

The Bush administration is deliberating whether to abandon U.S. reconciliation efforts with Sunni insurgents and instead give priority to Shiites and Kurds, who won elections and now dominate the government, according to U.S. officials.

Just as the "pro-moderate Sunni" solution was "leaked" just two days ago before the Maliki meeting, I would guess that this is a leverage point as the US returns, post Maliki meeting, to diplomacy with the Saudis.

(These competing theories do reflect a genuine split within the administration, but thus far, there's no real indication that "picking a side" has reached Bush's sense of possibilities.)