Word out is that President Bush will nominate former federal judge Michael Mukasey as his next attorney general, to replace Alberto Gonzales. Mukasey is said to probably face an easy confirmation in the Democratic-controlled Senate. Ted Olson, Bush's other reported choice, faced a much steeper climb.
I suspect Bush feels that with less than two years to go before his presidency is over, there's no sense in getting into a heated confirmation battle. Especially with the war and other things going on.