It's obvious now that there was never any intention to have Hezbollah not exist at the end of this. As much as we might have wanted it, that was never the plan from the beginning.
It's clear that Olmert and the Kadima govt never really wanted a big fight and were looking for a way out of this from the beginning.
Given that, the situation in S. Lebanon after with this resolution is better from Israel's POV than it was before it. Marginally better, but better.
What happens in the ME is a never ending struggle. This was just one round. Iran and Syria are the big targets here, not Hezbollah.
Much like in 1975 everyone warned of disaster after the pullout from Saigon only to see the USSR go belly up by 1991.
My only point is that given the current Israeli govt, this was really the best hat could be expected.
The huge plus out of this is that it signals the end of Kadima and Olmert as a viable political force.