Shaul Mofaz moved from the position of Defense Minister and received the Transport ministry in the new Cabinet installed on 4 May 2006. In 2008, with Israel's then prime minister, Ehud Olmert, being pressured to resign due to corruption charges, Mofaz announced that he would run for the leadership of the Kadima party. On 5 August 2008, Mofaz officially entered the race to be leader of Kadima. That same day he received a blessing by Shas spiritual leader Rabbi Ovadia Yosef. On 17 September 2008, he lost the Kadima party election, losing to Tzipi Livni for the spot of the Prime Minister
Tzipi Livni appearance would cost them votes. Some Kadima officials also seemed reluctant, fearing her appearance at left-wing event would send some votes Likud's way. Livni attended the memorial for Rabin in 2009. After a draft document authored by Sweden (the then-holder of the rotating EU presidency) surfaced that calls officially for a division of Jerusalem and implies that the EU would also recognize a unilateral Palestinian declaration of statehood, Livni wrote a letter to Swedish Foreign Minister Carl Bildt, saying it was "wrong and not helpful," and that she conveyed "deep concern regarding what appears to be an attempt to prejudge