Israeli President Shimon Peres on Saturday began the process of reviewing the files of hundreds of Palestinian prisoners to be exchanged for Israeli soldier Gilad Shalit, captured by Hamas gunmen in a 2006 cross-border raid.

Mr. Peres's spokeswoman said the president received the files of 477 prisoners to be released in the first phase of the prisoner swap planned for Tuesday and has 48 hours to sign the pardons.

Under the deal, 1,027 Palestinians will be freed in two stages in return for Shalit, who will be released to Egyptian custody and then handed over to Israel. The remaining 550 inmates will be freed over a two-month period. Palestinian prisoners include some responsible for deadly attacks on Israelis.

Leaders of Hamas that rules the Gaza Strip met with Egyptian intelligence officers in Cairo Saturday to discuss the handover. Egypt helped to mediate the deal.

Palestinian groups in Gaza are gearing up for celebrations to welcome prisoners home. Hamas Prime Minister Ismail Haniyeh called their release “a great victory.”

In Israel, however, the mood is more subdued. While Israelis are delighted to see the captive soldier return, the country is paying a heavy price — 1,027 Palestinian prisoners in exchange for just one soldier.

Israel has carried out similar prisoner swaps in the past. Opponents call the policy “a grave mistake” and warn such swaps will encourage more kidnappings of Israeli soldiers. Hamas has already said the latest deal is just the first step toward the release of all of the remaining 5,000 Palestinians in Israeli jails.

On Friday, Israeli authorities detained a man who defaced a memorial to former Israeli leader Yitzhak Rabin to protest the prisoner swap.

Authorities said the man's parents and at least three of his siblings were among 15 people killed in a 2001 suicide bombing in Jerusalem. At least one Palestinian prisoner convicted in the attack is scheduled to be freed.