East Timorese President Xanana Gusmao and former pro-Jakarta militia leader Eurico Guterres agreed Tuesday to work toward reconciliation in the first meeting of the two former arch-foes.

"None has won, none has lost, because we both lost our fighters, so reconciliation is the best way for us," Guterres told reporters after the meeting.

The meeting took place in Kupang, the main town in Indonesia's West Timor bordering East Timor.

Gusmao also invited Guterres to visit East Timor. Guterres accepted the invitation and said he plans to go in early January, bringing with him 26 former militia leaders.

Gusmao said he will guarantee Guterres' safety during the visit, saying he will not be arrested over human rights abuses he and his men committed before, during and after a 1999 UN-organized referendum in which East Timor voted for independence from Indonesia.

The vote triggered a deadly rampage by pro-Indonesian militias that were armed and organized by Indonesia's military.

The governments of East Timor and Indonesia set up the Commission of Truth and Friendship, carrying a one-year mandate to reveal the truth behind human right abuses in 1999.