Character matters. It mattered with Clinton and it matters with Schwartenegger.
In California? One could only hope.
It matters a helluva lot more in a President than in a Governor. But truth be told, if our politicians lowered my taxes (significantly this time), trashed all our draconian gun laws, stopped giving foreign dicatators billions of American taxpayer dollars, and in general descreased both the size and scope of gov't, it wouldn't bother me too much if every last one of them were adulterers.