Israeli soldier-swap deal reached: paper (Israeli officials deny report)

[maddezmom]

MANAMA (Reuters) - Israel and the Palestinians have reached an agreement to swap the Israeli soldier held hostage in Gaza with imprisoned Palestinians, Palestinian President Mahmoud Abbas was quoted on Tuesday as saying.

Abbas told Bahrain's Akhbar al-Khaleej newspaper soldier Gilad Shalit would first be handed over to Egypt.

"An agreement has been reached about exchanging prisoners that is based on Egypt taking the soldier as a deposit, and after that the number of Palestinian prisoners-of-war would be announced," Abbas said in the interview.

Israeli media quoted Israeli officials as saying they "know nothing of such a breakthrough."

more:http://news.yahoo.com/s/nm/20060905/wl_nm/mideast_soldier_abbas_dc