California Governor Arnold Schwarzenegger (C) campaigns inside a local cafe in Chico, California, June 7, 2006. Gov. Schwarzenegger kicked off his first day of campaigning for the upcoming California gubernatorial election in November. [Reuters]

At first glance, the California governor's race looks like a walk for Gov. Arnold Schwarzenegger. The musclebound Hollywood superstar faces Phil Angelides, the gangly and bespectacled state treasurer who wants to raise taxes. But appearances can be deceptive.

Schwarzenegger's up-and-down performance last year has angered many voters, and if this year turns into a bad one for Republicans, California's governor could find himself in a tight race to retain his job in November.

"If you took a poll right now, I suspect it would be fairly close," said California pollster Mark DiCamillo.

Californians have grown cynical of their famous leader, who lost his luster last year when he went to war with the state's public employee unions, which drove down his popularity with a blitz of negative ads. Those same unions are now backing his rival, Angelides.

To win, analysts say, the governor must build a new coalition that includes at least a third of the state's Hispanic voters, who turned away from the governor last year as he battled the unions and praised the Minutemen, a civilian border patrol group.

The morning after the primary, Schwarzenegger was back on the campaign trail, making his case.

"The other side is talking about the future - we are building the future," he told voters at a town hall meeting in Redding, in rural Northern California.

The governor has had a run of good luck lately. The Democrat-controlled Legislature passed a rebuilding plan he supported, which will be on the ballot in November. Billions of dollars in unexpected tax revenue poured in, enabling Schwarzenegger to propose a popular budget with more funding for education.

Analysts say the governor also has been helped by the Democrats' bruising primary battle.

A Los Angeles Times exit poll found Schwarzenegger's approval rating rose to 49 percent, a huge improvement from recent surveys. Fifty-four percent said they now have a favorable view of the governor.

Democratic gubernatorial candidate, state Treasurer Phil Angelides, left, and Assembly Speaker Fabian Nunez, D-Los Angeles raise their arms in celebration as balloons and confetti rain down during an election party in Sacramento, Calif., early Wednesday, June 7, 2006. Angelides defeated state Controller Steve Westly to win the nomination for Governor. Angelides will face incumbent Republican Gov. Arnold Schwarzenegger. [AP]

But those numbers may be misleading, because they were skewed by the low turnout. Other recent polls have had his approval rating in the low 40s, dangerous territory for an incumbent.

Angelides' pledge to raise taxes on the rich to give more money to schools also could help the governor. Voters turned their backs Tuesday on a similar proposal to tax the wealthy to fund universal preschool.

Schwarzenegger's refusal to raise taxes, despite pressure from Democrats, will be a pillar of his re-election campaign. His campaign manager, Steve Schmidt, said Angelides was "very much outside the mainstream of California politics" with his plan to raise taxes.

Democrats moved swiftly to try to repair the damage from the nasty election. Angelides and his rival in the primary, state Controller Steve Westly, appeared together in Los Angeles at a "unity" conference, where they vowed to work together to defeat Schwarzenegger.

"We are going to win this election," Angelides said. "And then we are going to go on and win something much greater - a stronger, fairer, better California for our children and generations to come."

Westly, an Internet tycoon from eBay, poured $35 million of his personal fortune into a campaign that trashed Angelides as a heartless developer who despoiled the environment. For many voters, it was their first impression of Angelides, whose work as treasurer is not well known.

Paul Maslin, an adviser to Angelides, said Democrats will quickly rally around their nominee.

He pointed out that while voters may be feeling better about their governor in the wake of the ugly primary, a majority still say the state is headed in the wrong direction, which reflects badly on Schwarzenegger.

"The intensity of feeling is all on our side," Maslin said. "I think over the long run that's going to help."