Can you explain your example a little more? What would translators see in this case for Arabic; would they need to provide three translations? And if there were two variables, nine translations?
"Localization" also implies a lot more than just translation. Does Localize.js handle work like culture-specific number and date formatting? Different collation of records for different languages? How does it identify application-generated text versus user data (eg. on a blog, does it translate blog comments entered by readers, or just text like "Please enter a comment below")?