It's good to hear her admit to her mistake, but I think I would have preferred her to have actually stood up to the Swift Boat Veterans for Truth in the first place. The AP's Scott LeBlanc has the story:

The campaign manager for Sen. John Kerry's failed presidential bid said Wednesday she regrets underestimating the impact of an attack advertisement that questioned Kerry's Vietnam War record.

Mary Beth Cahill, who spoke at Harvard University's Kennedy School of Government with Ken Mehlman, President Bush's campaign manager, said the Massachusetts senator's campaign initially thought there would be "no reach" to the ad from Swift Boat Veterans for Truth.

Instead, the ad, which initially aired in just three states, became a central issue of the campaign, eventually forcing Kerry to personally deny the group's allegations that he did not deserve his combat medals.

"This is the best $40,000 investment made by any political group, but it was only because of the news coverage that it got where it did," she said.

"In hindsight, maybe we should have put Senator Kerry out earlier, perhaps we could have cut it off earlier." [emphasis added]

Perhaps they should have hit back early and often. It's not like anyone was telling them to do that at the time...