CNN reporting that DeLay is stepping aside as Majority Leader "under pressure from other Republican leaders". This follows his prior decision to step down temporarily. By permanently stepping down, this paves the way for a new leadership struggle in the House.
What this move shows is that the damage to the Republican Party right now is significant. By shoving DeLay overboard, the Republicans clearly recognize that the "Culture of Corruption" language has the potential to topple their House majority. Democrats are you listening? You can win this one...
UPDATE 1: From AP:
DeLay intends to remain in Congress, these officials said, and plans to seek a new term in November.If Texas sends him back to Congress they are pathetic excuses for Americans.
DeLay acted hours after a small vanguard of Republicans circulated a petition calling for leadership elections and citing DeLay's legal problems as well as his long ties to Abramoff.