Traffic and Capacity Stats

British Airways PLC
4 January 2002

               TRAFFIC AND CAPACITY STATISTICS - DECEMBER 2001


Summary of the headline figures

Capacity in December, measured in Available Seat Kilometres, was 12.5 per cent
below December 2000. Traffic, measured in Revenue Passenger Kilometres, fell
10.4 per cent. The reduction in traffic comprised an 18.3 per cent decline in
premium traffic and a 9.2 per cent fall in non-premium traffic. Passenger load
factor of 68.6 per cent was up 1.5 points on December 2000. Cargo, measured in
Cargo Tonne Kilometres, fell by 16.1 per cent.

For the quarter ended 31 December 2001, ASKs fell by 14.1 per cent, while RPKs
fell by 18.0 per cent. This resulted in a third-quarter load factor of 65.2
per cent, 3.1 points lower than the same period last year. Premium traffic in
the quarter fell by 27.3 per cent with non-premium traffic falling by 16.2 per
cent. Cargo, measured in Cargo Tonne Kilometres, fell by 19.7 per cent in the
quarter.

Market conditions

Market conditions in December continued to be difficult but showed a
measurable improvement on the previous month. Promotional activity,
particularly in the economy cabins, has been successful in supporting both
seat factor and revenue. While yield is expected to be weak due both to
discounting and mix effects, overall revenue, while clearly well below last
year's level, is exceeding initial expectations.

Costs

As a result of Yen depreciation against sterling, there will be a non-cash
accounting credit of £85 million in the third quarter financial results.

Strategic developments

The Secretary of State for Transport announced that the Government will
provide up to £40 million of financial assistance to compensate airlines for
losses arising directly from the 11 September terrorist attacks in the United
States. British Airways will submit a formal application for compensation
which will cover some of the losses and extra costs resulting from the US
attacks.

British Airways and its oneworld alliance partner, Cathay Pacific Airways
expanded their code-sharing agreement to cover Kuala Lumpur, Auckland and
eleven destinations in Europe. From January 7, British Airways' BA code will
be added to Cathay Pacific's daily services between Hong Kong and both Kuala
Lumpur and Auckland. Cathay's CX code will be placed on British Airways'
flights linking London Heathrow with eleven European destinations - Newcastle,
Aberdeen, Stockholm, Helsinki, Dusseldorf, Hamburg, Munich, Berlin, Cologne,
Stuttgart, Prague.

January 4, 2002

BRITISH AIRWAYS MONTHLY TRAFFIC AND CAPACITY STATISTICS

                          Month of December       Financial year to date
                                                  April through December
BRITISH AIRWAYS GROUP                 Change                      Change
SCHEDULED SERVICES         2001  2000   (%)          2001    2000    (%)

Passengers carried (000)
UK/Europe                  1835  1963  -6.5         21464   21785   -1.5
Americas                    506   586 -13.7          5108    6443  -20.7
Asia Pacific                151   168  -9.7          1319    1649  -20.1
Africa and Middle East      215   243 -11.5          2086    2235   -6.7
Total                      2707  2959  -8.5         29977   32113   -6.7

Revenue passenger km (m)
UK/Europe                  1437  1584  -9.3         17318   18185   -4.8
Americas                   3494  4011 -12.9         34874   43997  -20.7
Asia Pacific               1558  1663  -6.3         13240   16262  -18.6
Africa and Middle East     1490  1653  -9.9         14101   14742   -4.3
Total                      7980  8911 -10.4         79533   93187  -14.7

Available seat km (m)
UK/Europe                  2461  2802 -12.2         27251   27500   -0.9
Americas                   4901  5903 -17.0         48343   57747  -16.3
Asia Pacific               2160  2209  -2.2         18336   21127  -13.2
Africa and Middle East     2106  2373 -11.2         20163   21929   -8.1
Total                     11627 13287 -12.5        114093  128304  -11.1

Passenger load factor (%)
UK/Europe                  58.4  56.5  +1.9 pts      63.5    66.1   -2.6 pts
Americas                   71.3  67.9  +3.4 pts      72.1    76.2   -4.1 pts
Asia Pacific               72.1  75.3  -3.2 pts      72.2    77.0   -4.8 pts
Africa and Middle East     70.7  69.7  +1.0 pts      69.9    67.2   +2.7 pts
Total                      68.6  67.1  +1.5 pts      69.7    72.6   -2.9 pts

Revenue tonne km (RTK) (m)
Cargo tonne km (CTK)        337   401 -16.1          3030    3686  -17.8
Total RTK                  1145  1289 -11.2         10973   12985  -15.5
Available tonne km (m)     1772  1972 -10.1         17327   18905   -8.3
Overall load factor (%)    64.6  65.4  -0.8 pts      63.3    68.7   -5.4 pts