“According to briefings on the discussions in Cairo, it turns out that Hamas has hardened its stance ... and presented extremist demands, despite the generous (Israeli) propositions that were made,” a statement from Olmert's office said.
Israel is seeking the release of Gilad Shalit, a conscript seized by Gaza militants in a deadly cross-border raid in June 2006.
Hamas, which runs the Gaza Strip, wants the release in exchange of hundreds of Palestinian prisoners in Israeli jails, including some convicted of attacks against Israelis in what would mark a major change in Israeli government policy.
“The prime minister has called a cabinet meeting for Tuesday afternoon where he will present the complete details of the results of the contacts which have occurred,” the statement said.
The statement came after two Israeli envoys returned from Cairo and reported on the last-ditch talks to Mr Olmert.
The two Israeli envoys _ special negotiator Ofer Dekel and the head of Israel's Shin Beth internal security service Yuval Diskin _ met Egypt's go-between in the negotiations, intelligence chief Omar Suleiman.
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