BA set to re-enter FTSE 100

British Airways is today expected to soar back into the ranks of London’s top flight companies.

BA was due to officially re-enter the FTSE 100 Index following confirmation of the move in a quarterly review by the FTSE Equity Indices Committee.

BA lost its premier status in March after its share price crumbled to 86p in the run-up to the Iraq war.

However, BA is now among London’s 80 biggest companies, with a market value of £2.38bn (€3.39bn).

The group’s shares have trebled in the past nine months to 241.5p.

It will be the second time in a year that BA has won back its place in the Footsie after making a brief return in December 2002.

Prior to that, BA had been an ever-present since its flotation in 1987.

BA has been promoted along with recruitment services company Hays, which is returning to the top flight after a brief absence.

The pair will replace Provident Financial and pubs group Mitchells & Butlers.

Arla Foods and Northumbrian Water are among companies due to join the FTSE 250 Index – at the expense of groups including ebookers and Holidaybreak.

Thirteen companies, including financially troubled groups MyTravel and British Energy, have been demoted to the FTSE Fledgling Index.

The FTSE reshuffles its benchmark index every three months to ensure only Britain’s biggest companies are included in this prestigious club.