Article: CLINTON SHUFFLES WHITE HOUSE STAFF HE APPOINTS BUDGET DIRECTOR TO BE HIS NEW CHIEF OF STAFF.(MAIN)

Byline: JACK NELSON Los Angeles Times

WASHINGTON President Clinton appointed budget director Leon E. Panetta as his new chief of staff Monday in a major shake-up aimed at strengthening a beleagured White House as it enters the struggle over what the President called his ``daunting agenda'' including health care reform, crime and trade.

Clinton announced the changes at an Oval Office news conference at which the principals were present.

Panetta, an outspoken Washington insider and former California congressman, replaces Clinton's boyhood friend Thomas F. ``Mack'' McLarty, a mild-mannered, softspoken Arkansan who has been widely criticized ...

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