(Updates with details)

WASHINGTON, May 16 (Reuters) - The World Bank's board is negotiating details of Paul Wolfowitz's exit as bank president, board sources said on Wednesday following pressure by European countries over his handling of a promotion for his companion.

"They have resumed the meeting and are finalizing a deal," one of the board sources told Reuters after an adjournment of a board meeting earlier at the request of the United States.

The board sources from developed and developing countries said details of a package, including financial compensation, were being discussed with Wolfowitz's lawyer.

Under a contract he signed in 2005 when became World Bank president, Wolfowitz would receive a year's salary, which would be around $375,000, if his service was terminated by the board or if he resigned.

Wolfowitz's resignation would end a tumultuous two years at the poverty-fighting institution where he was dogged by a legacy as an architect of the Iraq war, despite focusing attention on Africa's needs and launching a controversial campaign against corruption.

AlertNet news is provided by