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People Express won Justice Department support.

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The Justice Department has urged quick approval of Texas Air’s acquisition of People Express, suggesting that government delay might “force People into bankruptcy and even scuttle” the deal. The Department of Transportation has final say over whether to approve the acquisition, and a department spokesman said the request from the two airlines for expeditious consideration remains under review. People Express has told the Transportation Department that it needs to have its deal with Texas Air approved by next Tuesday or it will not be able to pay $13.4 million in interest on debt that is due the following day.

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