Competitiion for new aircraft

British Airways PLC
17 October 2006

COMPETITION FOR NEW LONGHAUL AIRCRAFT

British Airways has launched a competition for new longhaul aircraft by issuing
tender documents to aircraft and engine manufacturers.

The competition, called a request for proposal (RFP), is the first step in a
lengthy process before the airline makes a decision on fleet growth and
replacement for the next decade.

Airbus and Boeing, and engine manufacturers, Engine Alliance, General Electric
and Rolls Royce plus other key component suppliers, have been invited to bid.

British Airways' chief executive, Willie Walsh, said: 'For the past four years,
we have grown capacity by using our aircraft more efficiently.  In order to
continue to grow our longhaul business we now need additional longhaul aircraft.
We remain committed to generating an economic return for our shareholders.

'Launching the competition highlights the need for us to address our £2.1
billion pension deficit.  It is a major blocker to growth and investment in our
business but I am confident we will resolve it.

'With a combination of firm orders and options, we are planning for both growth
and fleet replacement into the next decade.  Environmental performance will be
one of the key criteria in our choice ensuring greater fuel efficiency, reduced
noise and emissions. The first aircraft to be replaced are the 20 Boeing 747s
and 14 Boeing 767s, which will be around 25 years old,' he said.

Subject to the outcome of the RFP competition, orders are expected to be placed
during next year.

The aircraft being considered for the airline's longhaul fleet are the Airbus
A330, A350, A380 and Boeing 787, B777 and B747-8.

                                                                           ends

October 17, 2006                    104/LG/06


Notes to editors:

British Airways has 284 aircraft in its fleet of which 114 are longhaul
aircraft.

Its longhaul fleet comprises 57 Boeing 747-400s, 43 B777s (three B777-200A, 24
B777-200IGW and 16 B777-200ER) and 14 B767-300s.

Projected entry into service dates for the Airbus A380 is 2007, A350 XWB is
between 2012-2014 and B787 is 2008. There is no confirmed entry into service
date for the passenger version of the B747-800.

The current list prices for the aircraft being considered range from US$160
million to US$ 316 million per aircraft.

A new generation medium sized wide body aircraft such as the Airbus 350XWB or
B787 is likely to have at least 30 per cent lower fuel burn and 30 per cent
lower NOx emissions per seat than a B767.

An A380 or B747-8 is likely to have at least 17 per cent lower fuel burn per
seat and 21 per cent lower NOx than a B747-400.

The A380 and B747-8 are expected to be noticeably quieter on arrival than the
B747-400.

Certain information included in this statement is forward-looking and involves
risks and uncertainties that could cause actual results to differ materially
from those expressed or implied by the forward looking statements.

Forward-looking statements include, without limitation, projections relating to
results of operations and financial conditions and the Company's plans and
objectives for future operations, including, without limitation, expected future
revenues, financing plans and expected expenditures and divestments.  All
forward-looking statements in this report are based upon information known to
the Company on the date of this report.  The Company undertakes no obligation to
publicly update or revise any forward-looking statement, whether as a result of
new information, future events or otherwise.

It is not reasonably possible to itemise all of the many factors and specific
events that could cause the Company's forward looking statements to be incorrect
or that could otherwise have a material adverse effect on the future operations
or results of an airline operating in the global economy.  Information on some
factors which could result in material difference to the results is available in
the Company's SEC filings, including, without limitation the Company's Report on
Form 20-F for the year ended March 2006.


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