Place strainer over 1-cup glass measuring cup. Pour tomatoes with their oil into strainer to drain. Add enough olive oil to glass cup to measure 1/4 cup oil total, if necessary. In processor, blend drained tomatoes, parsley, olives, pine nuts, shallots and garlic wtih vinegar until finely chopped. With machine running, gradually add 1/4 cup oil; process mixture until well blended. If pesto is dry, mix in more oil by spoonfuls. Season iwth salt and pepper. (Can be made ahead. Press plastic wrap onto surface of pesto. Cover and refrigerate up to 2 days or freeze up to 1 week. Bring to room temperature before using.) ~--