Three terrorists were eliminated by IDF troops in a moderate ground operation against Palestinian Authority terrorists approximately one mile into southern Gaza early Tuesday described by an army spokesman as "routine counter-terrorism" activity.

At least 30 tanks and bulldozers moved into the areas around Khan Younis and Rafiah, clashing with Hamas terrorists who fired rocket-propelled grenades (RPGs) and mortars. Israeli forces destroyed a gas station on the road between the two Gaza cities, both hotbeds of smuggling and terrorist activity.

Some 60 people were taken into custody in house-to-house searches before 9:00 a.m. as Israeli soldiers deployed on rooftops as well as on the streets. In the earlier hours of the morning, Israel Air Force fighter pilots killed two PA terrorists in two separate air strikes in northern Gaza as well.

A toy factory in the western Negev city of Sderot was destroyed Monday in a Kassam rocket attack fired by PA terrorists from northern Gaza.