Confusion surrounded the Philippines Government on Thursday as it was announced that Vice-President Teofisto Guingona would stay on as foreign minister, despite an earlier announcement that he had resigned.

Mr Guingona has denied he resigned

The new announcement came after Mr Guingona had a one-to-one meeting with President Gloria Arroyo hours after a letter was released saying she accepted his resignation.

Presidential spokesman Silvestre Afable has now said he made a mistake by releasing the letter, which Mrs Arroyo had signed.

Mr Guingona had insisted all along that he had not resigned from the foreign office, fuelling rumours of a rift with the president.

The vice-president has openly objected to the presence of US troops in the country, who are training Philippines troops to combat Islamic rebels in the country's south.

Mixed signals

Mrs Arroyo's letter, which was addressed to Mr Guingona, had given no official reason for his supposed resignation but referred to "honest differences of opinion".

I did not resign, period

Teofisto Guingona

Her spokesman, Mr Afable, later told reporters the letter was not meant for release.

"It was meant to be torn up," he said.

Mrs Arroyo, who appointed Mr Guingona to vice-president and foreign minister when she took office last January, had initially persuaded him to support her decision to bring in the US military.

"You have done a good job," Mrs Arroyo said in her letter.

"When you brought to me your reservations about Balikatan (joint US-Philippines military exercises) in Basilan, I asked you to help craft the terms of reference."

Staff confused

She said in the letter she wanted Mr Guingona, 73, to instead accept a role as an adviser for foreign affairs. She also said she wanted him to stay on as vice-president.

President Arroyo had signed the letter

But minutes after a presidential aide released the letter, Mr Guingona told reporters: "I did not resign, period."

He is then reported to have stormed back into the foreign affairs office from where he reportedly called the president's office to demand clarification.

Staff at Mr Guingona's office were also confused, saying they has only heard about the supposed resignation from the media.

In recent days Mrs Arroyo has publicly supported calls for fresh military exercises between the Philippines and the US.

The six-month training exercises are due to end next month.

Analysts say the alleged dispute between Mrs Arroyo and Mr Guingona comes amid a backdrop of declining popularity for the president.