Northrop's buyout of Newport News Shipbuilding cleared.(Newport News Daily Press)

WASHINGTON _ The U.S. Justice Department formally approved a plan by Northrop Grumman Corp. to buy Newport News Shipbuilding, Northrop Grumman announced Friday.

Although the Justice Department issued no public statement, Northrop Grumman said it was notified that the Justice Department had concluded its investigation and has no objection to a merger of the two companies.

The decision, which came as no surprise, effectively ends any federal regulatory obstacle to a merger that would reduce the number of major Navy shipbuilders from three to two.

The third company, General Dynamics Corp., ended its own effort to buy Newport News Shipbuilding last week when the Justice …