BA forced to reveal Marshall plan

BRITISH Airways was forced to make a statement to the Stock Exchange in a belated attempt to clarify its succession plans after a week of increasingly fevered speculation over the future of Lord Marshall, its 68-year-old chairman.

With unrest among some major shareholders exacerbated by Marshall's stated intention to carry on as chairman, the airline said he will seek a two-year extension to his term at the annual meeting in the summer, taking him to the age of 70. Previously, it was understood he would stand for another three years.

BA said: 'We are fully aware of our corporate governance responsibilities as they relate to succession to the chairmanship and have the necessary procedures in place for an orderly changeover at the appropriate time.'

It also denied reports that headhunters are being brought in to look for a successor to Marshall.