I think the DOJ realized they're in over their heads on this one, with nothing to back up their big talking earlier.
They screwed up bad and know they're going to get taken to the cleaners in the court room. They wish this whole thing would've never happened and are trying to figure out how to get out of it without looking like idiots.
They will. The merger will go through. The only thing that will have been accomplished is that they cost the companies and employees millions and millions in the process. But who cares, right?