2006 Subaru Legacy Wagon Power Steering issue

I recently started to notice a bit of a whine coming from what I thought was
my power steering.  This was confirmed over this past weekend when I came
home and noticed was leaking some fluid.  Upon opening up my engine
compartment I saw that the PS fluid was foamy and it had leaked out of the
top of the resevoir.  It also looks like there was a bit of fluid coming out
somewhere near the pump (much smaller amount).

I thought this was an indicator of air getting into the system.  I replaced the
clamps on the intake hose and tried bleeding the air out by putting my car up
on jacks and rotating the wheel back and forth numerous times.

When I turned the car on again, I now have white smoke coming from the
engine compartment.  It seems to be coming from the lower passenger side.  

My question is two fold.  First, what could this white smoke be?  Second, if
I'm still getting a whine, what else could I try?

Thanks for your thoughts!