People Express won Justice Department backing.

The Justice Department reported that it has urged the Transportation Department to approve the application of People Express Airlines to acquire Frontier Airlines. In comments filed with the Transportation Department, Justice’s antitrust division said the proposed acquisition “clearly will have no anti-competitive effect and therefore should be exempted” from further government review. Separately, in Denver, members of Frontier’s Airline Pilots Assn. Local 1635 voted to support the proposed sale.