BA cuts jobs and flights

BRITISH AIRWAYS, Europe’s biggest airline, will accelerate job reductions and cut flights to trim costs as the war in Iraq crimps demand for air travel.

The airline said it will eliminate another 3,000 jobs by September instead of by next March as previously planned.

British Airways shares fell as much as 5.75 pence to 116.25p and were down 2.9% to 118.5p at 2:14pm in London yesterday.

The European Commission said it may permit carriers such as British Airways and Lufthansa to draw on government-backed war-risk insurance and keep unused takeoff and landing slots.

British Airways said it will suspend one of its seven daily return services between Heathrow and New York until the end of May.

It will also cut one of its two daily return services between Heathrow and Chicago until April 8. It will also delay the introduction of extra services between Heathrow and Newark Airport, Heathrow and Toronto and between Gatwick and Houston.