Pence weighs in on Big 3 crisis

INDIANAPOLIS (WISH) - Indiana Congressman Mike Pence (R) wants the Big 3 automakers to stay in business. But Pence said a bailout may not be the right answer.

Mike Pence came back to Indiana for the first time Wednesday since he won a leadership post among the Republicans in Congress. It's a post he won, in part, by speaking out against bailouts. While he says Congress should hear out the Big 3, Pence remains opposed to a federal bailout for the auto industry.

"But I think Congress can extend the authority of a reorganization, like a bankruptcy, to the Big 3 automakers and give them the legal flexibility to rework their business plan without ever having to call it that," said Pence.

Pence said his priorities are the taxpayer first and the autoworkers second. He also said that Congress should consider a tax holiday as a way of giving money back to taxpayers before spending $350 billion in financial bailout money already approved.

His selection to the number three post among Republicans, meantime, gives him greater influence.

"I hope that my new role in Congress will be an opportunity for Hoosiers who share my common sense conservative values to have a stronger voice on Capitol Hill," said Pence.

Congressman Pence said the automakers need the ability to renegotiate contracts with suppliers and with the Unions. While he said bankruptcy would make it hard to sell cars, he points out that some airlines survived bankruptcy to become more efficient companies.