Not officially dropping out, but he has suspended his campaign.
“In this time of war, I simply cannot let my campaign be a part of aiding a surrender to terror. This is not an easy decision. I hate to lose,” the former Massachusetts governor said.
“If this were only about me, I’d go on. But it’s never been only about me. I entered this race because I love America, and because I love America, in this time of war I feel I have to now stand aside for our party and for our country.”
Apparently there’s a big difference between suspending a campaign and totally dropping out.
Suspending a campaign has a different meaning depending on the party.
On the Republican side, decisions on how to allocate delegates is left to the state parties.
On the Democratic side, a candidate who “suspends” is technically still a candidate, so he or she keeps both district and statewide delegates won through primaries and caucuses. Superdelegates are always free to support any candidate at any time, whether the candidate drops out, suspends or stays in.
National party rules say that a candidate who “drops out” keeps any district-level delegates he or she has won so far but loses any statewide delegates he or she has won.
John McCain is about to take the podium, too.
more details here