A source, described by The New York Times only as a person who had been told of Kennedy's decision, said she called New York Gov. David A. Paterson Wednesday to inform him of her decision to drop out of consideration. However, MSNBC's Keith Olbermann reported a Kennedy family source told NBC's David Gregory that she has not withdrawn her name.
The Times said the 51-year-old daughter of slain President John F. Kennedy, expressed concerns that it would not be a good time to embark on a senatorial career when her uncle, Sen. Ted Kennedy, D-Mass., is in frail health. He is battling brain cancer and suffered a seizure at an inauguration lunch Tuesday.
Caroline Kennedy, who was expected to issue a statement soon, believed she would have been appointed to the Senate seat Clinton gave up to become secretary of state, the Times' source said. Paterson will make the appointment. A spokeswoman for the governor had no immediate comment, the Times said.
Paterson is expected to announce his selection Saturday.