John Snow likely to step down in mid-June

Washington, May 26 : Treasury Secretary John Snow, whose future in the Bush administration has been the subject of heated speculation in recent months, is likely to step down in mid- to late June, Republican sources said.

The White House is narrowing its choices for a possible successor, with David Mulford, the U S ambassador to India, seen as a strong contender, the sources said.

Commerce Secretary Carlos Gutierrez and ex-Commerce chief Don Evans, who is a close friend of President George W Bush, are also among those whose names have been circulating for the Treasury position. Other possible contenders who have been mentioned include Energy Secretary Samuel Bodman.

The U S media have been abuzz with speculation that Josh Bolten, who took over in April as White House chief of staff, wanted to replace Snow with someone who could be a more forceful spokesman on the economy, preferably someone from Wall Street.

But people close to Snow, a 66-year-old former industrialist who has served as Treasury chief for more than three years, have said he had long considered moving on prior to the November midterm elections.

Treasury spokesman Tony Fratto declined yesterday to comment on rumors and reports that Snow was likely to leave soon, saying, ''We don't comment or speculate on personnel issues.'' The White House similarly refused any official comment.

''We don't speculate on personnel matters,'' said White House spokesman Ken Lisaius.

Republican sources inside and outside the White House said Snow's departure was likely sometime after his trip to St. Petersburg, Russia, for a meeting of the Group of Eight finance ministers on June 10.

Snow is scheduled to return to the United States immediately after the St. Petersburg session.

''I hear Snow will leave after the G8 meeting in June,'' said one Republican with close ties to the White House.

The Bush administration was said to have sounded out some top Wall Street executives, including Goldman Sachs Chairman Henry Paulson, but was having trouble attracting a candidate from the financial markets to serve at Treasury for the remaining 2 1/2 years of Bush's tenure.

Those who view Mulford as a strong candidate for Treasury cite his years of experience in international economic issues. Before taking up his ambassadorship, he was a top executive of Credit Suisse First Boston in London.

Mulford has extensive Treasury experience, having served in the department from 1984 to 1992, eventually rising to the position of undersecretary for international affairs.

Speculation that Snow's departure might be coming soon intensified this week after reports Deputy Secretary of State Robert Zoellick was considering leaving his post. An associate of Zoellick said one factor in his thinking was disappointment he would not be promoted to treasury secretary. That was seen by some Republicans as a sign the White House was narrowing its choices for the Treasury post.

Reuters