Armey apologizes to Watts for hearing remarks

By Ted Barrett, CNN Capitol HIll Producer

WASHINGTON (CNN) -- House Majority Leader Rep. Dick Armey, R-Texas, apologized Tuesday to GOP Conference Chairman Rep. J.C. Watts, R-Oklahoma, for describing as "nonsense" Watts' recently announced plan to hold hearings on spiking energy prices.

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Armey explained that he misunderstood the purpose of the hearings when he made the remark. He said he now understands the inquiry will examine "what really happens in the real world when people try to impose price controls."

"I'm sorry I didn't understand better before I ad-libbed last week," he said. "But J.C., I think, has thought this through and has a clear understanding of what he's trying to accomplish, and I applaud him for his initiative."

Christine Iverson, a spokeswomen for Watts, said "price caps could be part of the discussion" but the "primary goal is price spikes."

"Democrats are approaching this with a foregone conclusion there is price gouging," Iverson said. "J.C. is saying we need to bring these guys (energy company executives) up here to give them a fair hearing on price fluctuations."

Terry Holt, a spokesman for Armey, said the majority leader criticized the hearings after being wrongly told by a reporter that they would focus on alleged industry price gouging.

"Armey's a guy who calls them as he sees them." Holt said. "He has a visceral reaction to (claims of) price gouging."