The President said she cannot extend the term of her military chief since many of those who are next in line are also nearing retirement age.
Earlier, she expressed intention to extend the term of Philippine National Police (PNP) chief Director General Leandro Mendoza since his deputy, Hermogenes Ebdane, is still quite young and has a lot more years to serve before reaching the mandatory retirement age.
"In extending General Mendozas term, General Ebdanes career wont be jeopardized. But in the case of General Villanueva, those next in line stand to lose their chance," Mrs. Arroyo explained.
The President said possible successors include Southern command chief Lt. Gen. Roy Cimatu and Army Maj. Gen. Gregorio Camiling.
"If there was a way to make them all AFP chief, I would," she said, noting it would be up to the AFP Board of Generals to nominate Villanuevas successor.
Villanueva, who will reach the retirement age of 56 on May 20, welcomed the decision of the President.
"Its okay for me to retire, to give a chance to those next in line. I can now give more attention to my family," said Villanueva, a member of the Philippine Military Academy Class of 1968.
The AFP chief, who plans to go into farming after his retirement, said he is extremely satisfied with his 38 years of service in the military.
"I am satisfied with how my career went. I could not ask for anything more," he said.
Villanueva, a protégé of Defense Secretary Angelo Reyes, became chief of the 130,000-strong military last March 17. He was Army chief when Reyes, then the AFP chief of staff, withdrew support from then President Joseph Estrada in January 2001. With Paolo Romero