Holding in Company

British Airways PLC
8 October 2001


LETTER TO: BRITISH AIRWAYS PLC
DATED:     5 OCTOBER 2001


Re:  Section 198 Notification

Company Secretary:

Below is a Section 198 Notification dated 4 October 2001.

Please note that one or more of the affiliates of The Capital Group Companies, 
Inc. have made notifications to your company pursuant to Section 198 previously.
For a description of our organization, please visit our Web site at 
www.capgroup.com.

For the purposes of this Notification an outstanding share balance of 
1,082,609,165 shares was used to calculate the percentages of holdings of the 
relevant share capital which determine the notifiable interest. We believe this 
outstanding share balance is current.


LETTER DATED: 4 OCTOBER 2001


                          SECTION 198 NOTIFICATION 
                          Notification of Increase

This Notice is given by The Capital Group Companies, Inc. on behalf of its 
affiliates, including Capital Guardian Trust Company, Capital International 
Limited, Capital International S.A., Capital International, Inc., and Capital 
Research and Management Company, pursuant to Section 198 of the Companies Act 
1985.

The interest in the relevant share capital indicated below arises by virtue of 
holdings attributed to the Companies (see Schedule A). These holdings form part 
of funds managed on behalf of investment clients by the Companies.

     Share capital to which this relates:

          Ordinary Shares (1,082,609,165 shares outstanding) 

     Number of shares in which the Companies have an interest:
            
          99,520,840 

     Name(s) of registered holder(s):

          See Schedule B


LETTER FROM: THE CAPITAL GROUP COMPANIES, INC.



As of 4 October 2001

British Airways plc

                                                         Number of   Percent of
                                                           Shares   Outstanding

The Capital Group Companies. Inc, ('CG') holdings       99,520,840        9.19%

Holdings by CG Management Companies and Funds:

- Capital Guardian Trust Company                       19,778,525         1.83%

- Capital International Limited                         5,201,000         0.48%

- Capital International S.A.                            1,883,975         0.17%

- Capital International, Inc.                              19,000         0.00%

- Capital Research and Management Company               72,638,340        6.71%


                                    Schedule A




                   Schedule of holdings in British Airways plc 
                             As of 4 October 2001
      
                        Capital Guardian Trust Company

Registered Name                                      Local Shares

State Street Nominees Limited                           3,065,100

Bank of New York Nominees                                 315,900

Chase Nominees Limited                                  8,663,400 
     
BT Globenet Nominees Ltd.                                  24,400

Midland Bank plc                                        3,498,900

Bankers Trust                                           1,418,500

Barclays Bank                                             760,200

Nortrust Nominees                                       1,937,925
                        
Citibank NA                                                35,700

Mellon Nominees (UK) Limited                               58,500

                                            TOTAL      19,778,525



                       Capital International Limited

Registered Name                                      Local Shares 

State Street Nominees Limited                             439,500

Bank of New York Nominees                                 604,800

Chase Nominees Limited                                  1,499,200

Midland Bank plc                                           41,000

Bankers Trust                                             948,200

Barclays Bank                                              82,000

Citibank London                                            70,000

Morgan Guaranty                                            89,500

Nortrust Nominees                                         761,900               

Royal Bank of Scotland                                     48,000

MSS Nominees Limited                                      160,000

State Street Bank & Trust Co.                              70,000

Lloyds Bank                                                57,000

Vidacos Nominees Ltd.                                      28,000

Citibank NA                                                70,000

Deutsche Bank AG                                           78,400

HSBC Bank plc                                              68,000

KAS UK                                                     29,000

Bank One London                                            56,500

                                            TOTAL       5,201,000

                                 Schedule B


   
                        Capital International S.A.

Registered Name                                      Local Shares 

State Street Nominees Limited                              23,000

Chase Nominees Limited                                    827,840

Midland Bank plc                                          307,600

Barclays Bank                                             120,700

Nortrust Nominees                                          33,000

Morgan Stanley                                             36,500

Royal Bank of Scotland                                    152,000

National Westminster Bank                                 107,830

Lloyds Bank                                                17,000

RBSTB Nominees Ltd.                                        30,000

Deutsche Bank AG                                          108,505

HSBC Bank plc                                             120,000

                                             TOTAL      1,883,975

                               Schedule B    



                      Capital International, Inc.

Registered Name                                      Local Shares        

Bank of New York Nominees                                  19,000

                                              TOTAL        19,000
                                
                                Schedule B



                   Capital Research and Management Company

Registered Name                                      Local Shares        

State Street Nominees Limited                           1,604,800

Chase Nominees Limited                                 70,869,540

Cede & Co.                                                164,000

                                              TOTAL    72,638,340

                               Schedule B