3-term Senator Jon Kyl will announce his retirement at a noon news conference Thursday in Phoenix.

The Arizona lawmaker is the No. 2 Republican in the Senate.

Kyl, 68, served four terms in the House before winning a Senate seat. In 2006, he was named one of the 10 best senators by Time Magazine.

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(FOX) – Replacing the senator, who is a major force in finance and defense policy, could prove to be an interesting fight.

Several officials, both GOP and Democratic, speculated Thursday that should Kyl resign, Rep. Gabby Giffords, rapidly recovering from a recent shot to the head at a constituent meeting, could be a contender. Also, other names mentioned: Homeland Security Secretary Janet Napolitano, a former Democratic governor of Arizona; and Rep. Jeff Flake, a rising conservative star.