If only the innocent deaths were confined to the immediate neighbours of 'terrorist leaders' it would be almost OK. But the Government of Israel now has a very broad definition of its enemies, including former terrorists who are now legitimate politicians (as many Irgun and Stern gang terrorists became...)
It's not long ago that Arafat himself was being threatened with assassination.
And its targeting has sometimes been imprecise, and has shown a casual disregard for the lives of Arab civilians.
It's still hard to condemn them however, after all they've been through.