Struggling Pawlenty exits White House race (Reuters)

WASHINGTON (Reuters) – Former Minnesota Governor Tim Pawlenty became the first major casualty in the marathon presidential campaign on Sunday while fellow Republicans Michelle Bachmann and Rick Perry built momentum in the race.

Pawlenty, once seen as a strong contender for the Republican nomination to face Democratic President Barack Obama in the November 2012 election, dropped out a day after a disappointing showing in Iowa's straw poll, a key early test of strength among his party's candidates.

Former Massachusetts governor Mitt Romney is the early front-runner in the Republican race, but he must fend off a surging Bachmann -- who won the poll -- and Perry, the governor of Texas who announced his candidacy on Saturday in South Carolina.

Some experts felt Romney may benefit most from the departure of Pawlenty -- neither of whom are favorites of the conservative Tea Party movement that likes Bachmann and Perry.

Pawlenty touted a record of balancing the budget, cutting spending and down-sizing government in Minnesota, but his "nice guy" image failed to gain traction after entering the race in May, particularly among Republican conservatives.

"I wish it would have been different. But, obviously, the pathway forward for me doesn't really exist. And so we're going to end the campaign," Pawlenty told the ABC program "This Week" after his distant third-place finish in the Iowa straw poll.

"You know, I'm from a small state. I don't have a big national financial network or political network," he said.

Bachmann won the Iowa straw poll on Saturday with 29 percent of the vote, with Ron Paul, a congressman from Texas, was second with 28 percent and Pawlenty at 14 percent. Romney was on the straw ballot but did not participate.

The straw poll is a nonbinding mock election that serves as an early gauge of strength in the state that holds the first 2012 Republican nominating contest -- the Iowa caucuses scheduled for next February.

In a round of appearances on the Sunday morning U.S. news programs, Bachmann, a U.S. congresswoman from Minnesota, defended her credentials to be president and called herself a leader in the U.S. Congress fighting against Obama's agenda.

Critics question her accomplishments in the U.S. Congress.

"So being a governor and having governor-level experience isn't the number-one requirement. It's really, who is the person? What is their character?" Bachmann said on ABC.

"What I've demonstrated is that I have a core set of principles that I believe in. I'll fight for them. That's what we need in a president of the United States because a president is more than just a manager," Bachmann added.

'SOMETHING DIFFERENT'

Pawlenty said that what he brought as a candidate was "a rational, established, credible, strong record of results" as a two-term governor in Minnesota. "But I think the audience, so to speak, was looking for something different," he added.

University of Minnesota political scientist Larry Jacobs said Pawlenty's departure "shows the Republican voter is angry and has moved in a pretty conservative direction."

On NBC's "Meet the Press," Bachmann sidestepped a question on whether she would seek the endorsement of fellow Minnesotan Pawlenty. "I'll be calling him today to wish him well. And he brought a very important voice to the race. I have a lot of respect for the governor," Bachmann said.

Perry's candidacy could steal support from Bachmann, replacing her as Romney's top rival and potentially bridging the gap between the party's establishment center and right-wing activists.

Pawlenty had been seen as a Republican candidate who could attract vital support from independent voters wary of more conservative candidates in a general election against Obama.

He raised $4.3 million in the most recent quarter, on par with other Republicans jockeying to run against Obama but lagging well behind the $18 million brought in by Romney.

But in an ominous sign, some donors to Pawlenty's campaign began to express second thoughts about supporting him.

"Well, there's a lot of factors that go into a successful campaign. Obviously, we had some success raising money, but we needed to continue that, and Ames was a benchmark for that. And if we didn't do well in Ames, we weren't going to have the fuel to keep the car going down the road," he said.

(Additional reporting by Lisa Lambert and Eric Beech in Washington and Todd Melby in Iowa; Editing by Jackie Frank)

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Pawlenty: Obama not showing courage in debt crisis (AP)

WASHINGTON – GOP presidential candidate Tim Pawlenty says President Barack Obama is showing no courage in the debt showdown. "If you're the leader of the free world, would you please come to microphone and quit hiding in the basement about your proposals, and come on up and address the American people? Is he chicken?" the former Minnesota governor told CNN's "State of the Union."

He said Obama needs to talk specifically and publicly about where he would cut entitlement programs to reduce the nation's debt. Obama has been negotiating with congressional leaders in an attempt to raise the government's borrowing limit ahead of an Aug. 2 deadline to avoid a financial default.

"Where's the president of the United States on the most pressing financial challenges of our country on entitlement reform? Where is his specific Medicaid reform proposal? Where is his specific Medicare reform proposal? Where is his Social Security reform proposal?" Pawlenty asked.

"The answer is he doesn't have one. You can't find him publicly talking about that. He's ducking, he's bobbing, he's weaving. He's not leading, and that's not the kind of president we need, and that's why he needs to be removed from office.

Pawlenty himself has criticized for not being aggressive enough in his 2012 campaign.

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