Holding in Company

British Airways PLC
28 September 2001


LETTER TO BRITISH AIRWAYS PLC - DATED 26 SEPTEMBER 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, 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 (1,082,571,008 shares outstanding) 

Number of shares in which the Companies have an interest;

      66,108,340

Name(s) of registered holder(s);

      See Schedule B


LETTER FROM THE CAPITAL GROUP OF COMPANIES INC.


As of 26 September 
2001 British Airways plc                             Number of     Percent of
                                                     Shares       Outstanding

The Capital Group Companies, Inc. ('CG') holdings    66,108,340      6.11%

Holdings by CG Management Companies and Funds;
     
- Capital Guardian Trust Company                        109,500      0.01%

- Capital International Limited                       1,885,500      0.17%

- Capital Research and Management Company            64,113,340      5.92%



                                    Schedule A


                   Schedule of Holdings in British Airways plc 
                             As of 26 September 2001


                          Capital Guardian Trust Company

Registered Name                                              Local Shares

State Street Nominees Limited                                      17,800
Bank of New York Nominees                                           1,900
Chase Nominees Limited                                             45,300
BT Globenet Nominees Ltd                                              100
Midland Bank plc                                                   19,800
Bankers Trust                                                       8,300
Barclays Bank                                                       4,500
Nortrust Nominees                                                  11,100
Citibank NA                                                           200
Mellon Nominees (UK) Limited                                          500

                                                     TOTAL        109,500

                                    Schedule B

                            Capital International Limited
Registered Name                                              Local Shares

Bank of New York Nominees                                          95,800
Chase Nominees Limited                                            592,700
Bankers Trust                                                     801,500
Morgan Guaranty                                                    67,500
Nortrust Nominees                                                 239,600
Deutsche Bank AG                                                   66,400
Bank One London                                                    22,000
                                                    TOTAL       1,885,500
                    
                                    Schedule B


                     Capital Research and Management Company

Registered Name                                              Local Shares


State Street Nominees Limited                                     829,500
Chase Nominees Limited                                         63,119,840
Cede & Co                                                         164,000
                                                    TOTAL      64,113,340
     
                                    Schedule B