Cut-price tickets give BA wings

PASSENGERS lured by special-offer promotions returned in force to British Airways last month, but fears that the national carrier may be forgoing profits for volumes clipped gains on the stock market.

After months of collapsing passenger numbers, the airline said that February traffic fell just 2.5%. At their worst, BA's passenger numbers were down by more than a third in its lucrative business and North Atlantic markets in the aftermath of the 11 September terrorist attacks on the US.

Last month, however, those falls were pegged back to a

7.8% drop in the premium paying cabin while North Atlantic numbers were down 3.5%.

The airline reported its load factor in the month was up to 71.6%, its highest February level for 10 years, although it admitted: 'The improvements have benefited from reduced capacity and continued fare discounting.'

BA shares, which have risen 30% since last week, were up 3p at 233p at the close.