Holding in Company

British Airways PLC
19 October 2001


LETTER TO BRITISH AIRWAYS PLC - DATED 17 OCTOBER 2001

On behalf of HBOS Plc,

Pursuant to Section 198 of the Companies Act 1985, Section 198, as amended, on 
behalf of HBOS plc, we give notice that HBOS plc and its subsidiaries have a 
material interest in the shares of your company as follows:

Sedol       No of shares     Security class      Fund - Registered Holder

0129057        263,861.00    Ordinary 25p        1105        Chase Nominees Ltd
0129057      2,447,522.00    Ordinary 25p        2304        Chase Nominees Ltd
0129057      2,330,241.00    Ordinary 25p        2314        Chase Nominees Ltd 
                                                             A/C CMIG 2314
0129057        126,939.00    Ordinary 25p        2343        Chase Nominees Ltd 
                                                             A/C CMIG 2343
0129057        228,250.00    Ordinary 25p        GROW00      CMI International  
                                                             Mixed Fund
0129057        444,724.00    Ordinary 25p        HLBA        Morgan Nominees
0129057         23,647.00    Ordinary 25p        HPBA        Morgan Nominees
0129057         18,676.00    Ordinary 25p        HPFO        Morgan Nominees
0129057        558,340.00    Ordinary 25p        HXLFE       Morgan Nominees
0129057         26,132.00    Ordinary 25p        HXPEN       Morgan Nominees
0129057            770.00    Ordinary 25p        PA0215      HSBC Global        
                                                             Nominees (UK) Ltd  
                                                             A/C 74428
0129057             37.00    Ordinary 25p        PA0255      HSBC Global        
                                                             Nominees (UK) Ltd  
                                                             A/C 74428
0129057          5,300.00    Ordinary 25p        PA0267      HSBC Global        
                                                             Nominees (UK) Ltd  
                                                             A/C 74428
0129057            700.00    Ordinary 25p        PP0901      HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 74428
0129057            483.00    Ordinary 25p        PP2024      HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 74428
0129057          3,000.00    Ordinary 25p        PP2065      HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 74428
0129057            926.00    Ordinary 25p        PP2326      HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 74428
0129057          1,000.00    Ordinary 25p        PP2373      HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 74428
0129057          1,697.00    Ordinary 25p        PP2675      HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 74428
0129057              1.00    Ordinary 25p        PP9999      HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 74428
0129057        873,000.00    Ordinary 25p        RF64        HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 82378
0129057      3,145,000.00    Ordinary 25p        RF81        HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 82359
0129057        240,000.00    Ordinary 25p        RF82        HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 82357
0129057         16,000.00    Ordinary 25p        RF83        HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 82372
0129057      1,935,000.00    Ordinary 25p        RF90        HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 82360
0129057         14,000.00    Ordinary 25p        RF92        HSBC Global        
                                                             Nominees (UK) Ltd
                                                             A/C 82373
0129057         59,000.00    Ordinary 25p        RISE00      CMI International  
                                                             Equity Fund
0129057        186,598.00    Ordinary 25p        UKEQ00      CMI UK Equity Fund
0129057         32,090.00    Ordinary 25p        UKTRA0      CMI UK Tracker Fund
0129057     30,414,143.00    Ordinary 25p        WPUKEQ      Chase Nominees Ltd
                                                             A/C CMIG MAIN

HBOS plc's material interest is now 43,397,077 which is 4.01% of the shares in 
issue.


LETTER FROM CLERICAL MEDICAL INVESTMENT MANAGEMENT LIMITED