Washington: US Treasury Secretary John Snow will remain in the top economic Cabinet post for President George W Bush's second term, a White House spokesman has said.

Snow agreed to a request to stay on the job at a White House meeting, Scott McClellan has said.

"He and the President met in the Oval Office a short time ago, and during the discussion the President asked Snow if he would continue to serve in the administration during a second term and Secretary Snow agreed," the spokesman told reporters yesterday (Dec 8, 2004).

"The President is pleased Secretary Snow agreed to continue to serve," he said.

The announcement puts to rest speculation that Bush would oust Snow. Some media reports in the last few days said that Snow is on his way out and White House chief of staff Andrew Card is likely to replace him.

Snow, 65, is the former chief of railroad giant CSX and a PhD in economics. He has been a loyal supporter of Bush's economic policies since joining the administration in February 2003 after Paul O'Neil's ouster.

In the second term, Snow is expected to campaign hard for some major changes in economic policy, including, partial privatisation of social security retirement and reforms of the income tax.

Meanwhile, Veterans Affairs Secretary Anthony Principi said in a letter made public by the White House yesterday that he was resigning, a senior US administration official said. Principi is the ninth-member of Bush's 15-member Cabinet to step down since the US President's re-election.