'Al-Hayat': Israel willing to release Barghouti for Schalit; J'lem denies

London-based Arab language newspaper Al-Hayat reported on Tuesday that Israel is willing to release Fatah leader Marwan Barghouti from prison as part of a possible exchange deal for the release of Gilad Schalit, something Hamas has reportedly demanded. Barghouti is serving five life sentences in an Israeli prison for involvement in attacks that killed four Israelis and a Greek monk. Jerusalem officials denied the claim, Army Radio reported. According to Al-Hayat, Hamas has also demanded the release of the leader of the Popular Front for the Liberation of Palestine, Ahmed Saadat, who has been connected - although not convicted - with involvement in the murder of late tourism minister Rehavam Ze'evi in 2001. But the paper reported that Israel has rejected this demand.