This Department of Treasury press release may be viewed at:
http://www.treas.gov/press/releases/js4341.htm

   Chairman Grassley, Ranking Member Baucus, and members of the Finance
   Committee, thank you for inviting me to testify here today. I am
   honored that President Bush has nominated me to serve as the 74th
   Secretary of the Treasury, following the distinguished leadership of
   Secretary John Snow. And I appreciate the time members of this
   Committee have taken to meet with me and consider my nomination.
   Frequent communication between the Treasury Department and this
   committee is of vital importance, and if confirmed I look forward to
   building on the important dialogue that we have already begun.

   I am also grateful to my family for supporting my decision to pursue
   this opportunity.

   The Treasury Department has a critical role to play in helping to set
   the direction of the U.S. and global economy – a role that reaches
   back to America's founding. If confirmed, I will strive to carry
   forward the Treasury Department's rich legacy.

   I have admired the work of the Treasury Department throughout my
   32-year career in finance – and particularly during the last eight
   years, when I have led a global financial institution. As the steward
   of the U.S. economic and financial systems, the Treasury has helped
   lay the groundwork for the American economy to become a model of
   strength, flexibility, dynamism and resiliency.

   This is a system that generates growth, creates jobs and wealth,
   rewards initiative, and fosters innovation. It is also a system that
   offers considerable social and economic mobility. We must never take
   this for granted, and we cannot allow Americans to lose faith in the
   benefits our system offers. America is the land of opportunity. We
   need to be vigilant in ensuring that each and every American has the
   opportunity to acquire the skills to compete, and to see those skills
   rewarded in the marketplace.

   One way we can do this is to maintain a macroeconomic climate that
   enables workers, families, businesses – both small and large – to
   thrive. That calls for spending discipline and predictable taxation,
   combined with prudent regulation.

   If confirmed, I will focus intensely on how the United States can
   maintain and strengthen our competitive position. As a product of a
   mid-sized town in Illinois, I will of course always remember Chairman
   Grassley's succinct description of the Treasury secretary's role: "to
   understand how tax policy, capital markets, international trade, and
   currency policy affect Main Street USA."

   As we work to promote greater economic opportunity for the American
   people, we must always remember that the American economy is deeply
   integrated with the global economy. That brings challenges, but even
   greater opportunities. While maintaining confidence in our ability to
   compete throughout the world, we must be prepared to embrace the
   change that will contribute to our long-term prosperity. Open markets
   help to boost productivity and drive America's economic growth, which
   in turn creates new and better jobs for American families. It's also
   true that the global integration of economies and markets holds the
   promise of a more prosperous and secure world. In my extensive travels
   throughout the world, I've seen countless examples of the benefits of
   economic reform.

   If confirmed, I will be active in affirming America's leadership role
   in the global economy, where we must continue to be a constructive and
   stabilizing force. I also look forward to working alongside other
   colleagues in the Cabinet to advocate policies and actions which
   provide open and level markets for U.S. investment and for U.S.
   products.

   To close, I will briefly outline some of the steps that could be taken
   to achieve a stronger and more competitive U.S. economy:

     * Addressing the long-term unfunded obligations of Social Security
       and Medicare that threaten to unfairly burden future generations.

     * Keeping taxes low and collecting them in a simpler and fairer
       manner that does not distort economic decision-making.

     * Expanding opportunities for American workers, farmers, and
       businesses – big and small – to compete on a level playing field
       with the rest of the world.

     * Maintaining and enhancing the flexibility of our capital and labor
       markets, and preventing creeping regulatory expansion from driving
       jobs and capital overseas.

     * Finally, the U.S. economy will be stronger if we can continue to
       foster an entrepreneurial spirit and culture which generates
       innovation, risk-taking, and productivity growth that raises
       living standards to keep America the economic envy of the world.

   If confirmed, I look forward to frequent consultation with members of
   this Committee to advance these important ideas. And if confirmed, I
   also look forward to working with the Treasury Department's select
   corps of professionals, who play a critical role in the stability and
   vitality of the U.S. economy.

   Thank you Mr. Chairman.