The terrorist organization leader stated that on July 11th, the day before the multi-pronged Hizbullah attack on Israel’s northern border, he never believed that major warfare would result from the skirmish.



Nasrallah said that the initial Israeli response to the abduction of the soldiers, sending tanks into southern Lebanon, further complicated the situation when a tank triggered a powerful bomb which resulted in the death of its crew.



Nasrallah echoed the words of his deputy, Naim Kassam, who over the weekend admitted that the significant Israeli military response was unexpected.



However, revealing another possible motive for Hizbullah's vocal spurning of war, Kassam also told reporters that despite the deployment of UNIFIL forces, Hizbullah gunmen would not disarm. He said that the implementation of phase one of UN Resolution 1701 creates new realities under which his forces would not openly display their weapons, but they will continue to occupy southern Lebanon.



Unconfirmed reports have Hizbullah rearming at an alarming pace, even replenishing its rocket supply in many areas of southern Lebanon.



Regarding the hostage soldiers, Ehud Goldwasser and Eldad Regev, Nasrallah stated that negotiations towards their release were underway. He added that Italy was seeking involvement in the process of the soldiers’ release.



Family members of Regev rejected the statements, telling the media they are not optimistic and do not believe a deal that will result in the soldiers’ release has been signed.



On Sunday, the prominent Egyptian daily Al-Ahram reported that German mediation efforts have already led to a deal by which Goldwasser and Regev will be released in the coming weeks. According to the paper, a second negotiating package is underway to obtain the release of IDF Corporal Gilad Shalit, who was taken hostage by Hamas during an attack in Kerem Shalom on June 25.



Following a meeting with PA (Palestinian Authority) Chairman Abu Mazen, left-wing Meretz-Yahad opposition party leader, Dr. Yossi Beilin, announced on Sunday that he is less than optimistic regarding reports of a deal that will result in Shalit’s release in the immediate future.



Regarding the captive soldiers, Prime Minister Ehud Olmert and Defense Minister Amir Peretz announced during the month-long war that no ceasefire deal would be accepted if it does not include the immediate and unconditional release of the soldiers. The two senior ministers have been accused of abandoning the soldiers, who remain in Hizbullah and Hamas custody, despite Israel agreeing to the UN-brokered ceasefire which is the subject of UN Resolution 1701.



United Nations Secretary-General Kofi Anan is due to arrive in Lebanon Monday accompanied by regional envoy Terje Larsen. Anan is expected to meet with state officials to discuss the multinational militia that will operate in southern Lebanon.