Israeli soldiers killed two pro-Iranian guerrillas in a gunbattle Saturday after the rebels tried to ambush an Israeli patrol in southern Lebanon, security officials said.
In Israel, a military spokesman said there were no Israeli casualties.
The firefight took place in the eastern part of an Israeli-occupied border strip, the security officials said speaking on condition of anonymity.
Israeli soldiers fired artillery at guerrilla strongholds and used helicopter gunships to strafe trails used by the fighters after the ambush.
Meanwhile, Hezbollah denied that it fired Katyusha rockets Friday at northern Israel and claimed that Israel fabricated the attack as an excuse to strike at Lebanon.