Caroline Drops Out (UPDATE: Or Did She?)

The New York Post is reporting that Caroline Kennedy has informed New York Gov. David Paterson that she no longer wants to replace Hillary Clinton in the U.S. Senate.

Her stunning move comes as sources revealed that Paterson had intended to appoint her to the now-vacant seat today.

The 51-year-old Camelot daughter’s decision removes the highest-profile name in the ring to step into Clinton’s seat, as she departs after getting confirmed as President Obama’s Secretary of State today.

Kennedy cited “personal reasons” for her decision, according to the Post‘s sources. But the move comes after many fellow Democrats questioned whether she was qualified for the job.

UPDATE: The New York Times now reports that the health of her uncle, Sen. Edward Kennedy, was the deciding factor.

Her concerns about Senator Edward M. Kennedy’s deteriorating health (he was hospitalized after a seizure during the inaugural lunch on Tuesday) prompted her decision to withdraw… Coping with the health issues of her uncle, with whom she enjoys an extraordinarily close bond, was her most important priority; a situation not conducive to starting a high profile public job.

UPDATE #2: The Post now says she decided to drop out after learning that Gov. Paterson wasn’t going to choose her.

Sources said the reason Paterson had decided not to tap the daughter of John F. Kennedy was her poor performances in media interviews and in in private sessions with various officials.

UPDATE #3: Now NBC reports that a Kennedy family source says she is not dropping out, and that earlier reports to the contrary may have been the result of “miscommunication between Kennedy and Paterson’s office. “

UPDATE #4: Around 9:50 p.m. ET, the AP reported that Kennedy “has withdrawn” her name. But just moments ago, at 10:37 p.m. ET, they issued a correction indicating that she “remains in the contest.”

UPDATE #5: She’s out.

By: Joel