WASHINGTON – President Bush on Monday acknowledged that efforts to replace U.S. troops with Iraqi soldiers have been hampered by the lackluster performance of Iraqi units, including instances in which they’ve fled rather than fight.

But in a wide-ranging year-end news conference, Bush expressed confidence that Iraqi elections in late January would start a new phase in the country’s transition to democracy.

Touching on other topics, the president reaffirmed his support for Defense Secretary Donald H. Rumsfeld, described his “complex” relationship with Russian President Vladimir Putin and declared that “now is the time” to seek peace between Israelis and Palestinians.

Bush’s less-than-glowing assessment of American-trained Iraqi troops contrasted with his previous evaluations, which stressed progress toward the goal of training 200,000 Iraqi security forces by the end of next year. He’s said repeatedly that any hope for a U.S. withdrawal hinges on the ability of Iraqi troops to take over.

“There have been some cases where, when the heat got on, they left the battlefield. That’s unacceptable,” he said. “Iraq will never fully secure itself if they have troops that, when they heat gets on, they leave the battlefield.”

The president described the overall performance of Iraqi troops as “mixed,” noting that “some really fine units” fought with American troops against insurgents in Fallujah and Najaf. He declined to predict when U.S. troops might be able to turn over Iraq’s security to Iraqi forces.

“I repeat, we’re under no illusions,” he said, about the quality of Iraqi troops. “I’m also wise enough not to give you a specific moment in time because, sure enough, if we don’t achieve it, I’ll spend the next press conference I have with you answering why we didn’t achieve this specific moment.”

Bush’s willingness to acknowledge the difficulties in Iraq may reflect recent gloomy assessments he’s received from U.S. intelligence officials. Administration officials have told Knight Ridder that the CIA, the Defense Intelligence Agency and the State Department have warned Bush in recent days that American troops are making little headway against insurgents who hope to block Iraqi elections scheduled for Jan. 30.

The presidential news conference came as authorities in Iraq rounded up dozens of suspects in terrorist attacks Sunday that killed at least 66 people, including three Iraqi election workers who were executed in broad daylight in the middle of a Baghdad street.

“No one can predict every turn in the months ahead, and I certainly don’t expect the process to be trouble-free,” Bush said. “Yet I’m confident of the result. I’m confident the terrorists will fail, the elections will go forward and Iraq will be a democracy that reflects the values and traditions of its people.”

The president defended Rumsfeld’s handling of the war and rejected calls for the defense secretary’s resignation. Rumsfeld, who’s come under fire even from some prominent Republicans, faced more criticism over the weekend after it was revealed that he used a machine to sign condolence letters to the families of soldiers killed in Iraq.

Bush, who personally signs condolence letters, said he had no doubt about Rumsfeld’s commitment to the troops.

“I know Secretary Rumsfeld’s heart. I know how much he cares for the troops,” the president said. “Sometimes his demeanor is rough and gruff, but beneath that rough and gruff, no-nonsense demeanor is a good human being who cares deeply about the military, and deeply about the grief that war causes.”

On other topics, Bush:

-Said he had a good relationship with Putin despite the Russian president’s opposition to the Iraq war and some of his recent efforts to consolidate power in his country. Bush said he and Putin had a complex relationship, but had “grown to appreciate each other and respect each other.”

-Reaffirmed his willingness to work for a Palestinian state existing side-by-side with Israel. The president said the death of Palestinian leader Yasser Arafat and an election Jan. 9 to replace him gave new hope for peace in the region.

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“Now is the time to move the process forward,” he said. “If the free world focuses on helping the Palestinians develop a (democratic) state, and there is leadership willing to accept the help, it’s possible to achieve peace.”

-Refused to provide any additional details of his plan to let workers invest some of their Social Security taxes in the stock market, saying he intends to withhold his opinions until he starts negotiating with the new Congress next year.

-Downplayed the threat from terrorist chief Osama bin Laden, the leader of al-Qaida, who resurfaced in an audiotape last week. “If I had to guess, I would guess that Osama bin Laden is in a remote region on the Afghan-Pakistan border. But I don’t have to guess at the damage we have done to his organization,” he said.

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(c) 2004, Knight Ridder/Tribune Information Services.

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PHOTOS (from KRT Photo Service, 202-383-6099): BUSH

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