Israel and Lebanon's Hizbullah group said on Saturday they had agreed to a German-mediated prisoner swap deal after more than three years of tortuous on-off negotiations.
The two sworn enemies confirmed an announcement by the German government that they would exchange within a week an Israeli businessman and three Israeli soldiers presumed dead for 400 Palestinian, 23 Lebanese and 12 Arab prisoners.
"With this agreement Israel and Hizbullah have achieved a breakthrough in seeking to soothe one of the most painful consequences of the Middle East conflict," the German statement said.

Copyright Reuters, 2004

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