German conservative party leader Angela Merkel has announced she will be the country's first female chancellor after striking a deal with outgoing Chancellor Gerhard Schroeder. Neither her Christian Democrats nor Mr. Schroeder's Social Democrats won a mandate in last month's parliamentary elections.
Three weeks of talks resulted in a deal Monday in which Ms. Merkel will become the new German leader while the Social Democrats control a majority of cabinet posts. Mr. Schroeder, who led Germany for more than seven years, is not expected to join the new government. Ms. Merkel said the goal is to form a government that stands for new policies aimed at tackling unemployment and a slow economy.
The U.S. State Department has congratulated Ms. Merkel and said it looks forward to working with her.