FORM 6-K

FORM 6-K

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

Report of Foreign Issuer

Furnished Pursuant to Rule 13a - 16 or 15d - 16 of the

Securities Exchange Act of 1934

For the period ending 3 September 2004

BRITISH AIRWAYS Plc

Waterside HBA3, PO Box 365, Harmondsworth UB7 0GB


CONTENTS

August Traffic & Capacity Statistics

3 September 2004

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorised.

BRITISH AIRWAYS Plc

Date:

3 September 2004

Alan Buchanan

Company Secretary


TRAFFIC AND CAPACITY STATISTICS - August 2004

Summary of the headline figures

In August 2004, passenger capacity, measured in Available Seat Kilometres, was 2 per cent above August 2003 and traffic, measured in Revenue Passenger Kilometres, was higher by 2.3 per cent. This resulted in a passenger load factor up 0.3 points versus last year, to 77.7 per cent. The increase in traffic comprised a 5 per cent increase in premium traffic and a 1.9 per cent increase in non-premium traffic. Cargo, measured in Cargo Tonne Kilometres, rose by 19.3 per cent. Overall load factor rose by 1.9 points to 71.5 per cent.

Market conditions

Market conditions remain unchanged. Longhaul premium volumes are recovering steadily, while shorthaul premium travel remains at lower levels. Non-premium volumes are very price-sensitive. Revenue is still expected to be some 2-3 per cent higher in this financial year

Strategic Developments

In August the airline suffered operational disruptions due to a number of causes, including staff shortages, bad weather, runway closures, technical problems with aircraft and baggage system failures. This resulted in the cancellation of some 1 per cent of the scheduled ASKs in the month. Operations recovered by the Bank Holiday weekend when some 225,000 passengers departed Heathrow, slightly up on the previous year.

Following agreement on a three year pay deal with unions representing baggage handlers, check-in agents and ground staff, the TGWU and GMB called off planned industrial action for the August Bank Holiday weekend. The company has agreed a back-dated (October 2003) RPI pay increase over three years and non pensionable lump sum payments between now and September 2006. The agreement of the unions, which also includes Amicus, is subject to consultation with their members. Agreement on the same pay deal has also been reached with the Engineering Negotiating Forum, subject to consultation with their members, and the pay offer has also been put to the pilots and they, too, are in the process of consulting. The agreement follows an acceptance by the unions of a robust absence policy to be introduced with immediate effect. The policy targets a reduction in current absence from an average of 17 days per employee down to 10 days within 12 months.

At the end of last month British Airways announced an Employee Reward plan for all staff linked to achieving a 10 percent operating margin.

The Australian Competition and Consumer Commission has proposed granting continued authorisation to the joint services agreement (JSA) between British Airways and Qantas for a period of 5 years. The JSA covers routes between Australia and Europe, including services between Australia and intermediate points such as Bangkok and Singapore.

British Airways' annual autumn long haul sale was announced with more than 1.5 million discounted flight tickets to more than 50 worldwide destinations and savings of up to £208. The special World Offer fares are on sale until September 28 for travel during differing time periods from September 2 through to June 30 2005.

The airline posted pre-tax profits of £115 million for the first quarter to June 30, 2004. The operating profit was £150 million delivering an operating margin of 7.8 per cent.

September 3, 2004


BRITISH AIRWAYS MONTHLY TRAFFIC AND CAPACITY STATISTICS

Month of August

Financial year to date

April through August

BRITISH AIRWAYS GROUP

Change

Change

SCHEDULED SERVICES

2004

2003

(%)

2004

2003

(%)

Passengers carried (000)

UK/Europe

2170

2234

-2.8

10712

10725

-0.1

Americas

646

649

-0.5

3250

3113

+4.4

Asia Pacific

144

135

+7.2

677

534

+27.0

Africa and Middle East

267

250

+6.6

1238

1092

+13.3

Total

3228

3268

-1.2

15877

15464

+2.7

Revenue passenger km (m)

UK/Europe

2028

1990

+1.9

9689

9268

+4.5

Americas

4318

4314

+0.1

21704

20805

+4.3

Asia Pacific

1476

1415

+4.3

6964

5723

+21.7

Africa and Middle East

1751

1640

+6.8

8196

7302

+12.2

Total

9573

9359

+2.3

46553

43098

+8.0

Available seat km (m)

UK/Europe

2706

2685

+0.8

13304

12999

+2.3

Americas

5420

5503

-1.5

26808

26554

+1.0

Asia Pacific

2004

1834

+9.3

9695

8527

+13.7

Africa and Middle East

2197

2068

+6.2

11069

10066

+10.0

Total

12327

12090

+2.0

60877

58147

+4.7

Passenger load factor (%)

UK/Europe

74.9

74.1

+0.8

pts

72.8

71.3

+1.5

pts

Americas

79.7

78.4

+1.3

pts

81.0

78.3

+2.7

pts

Asia Pacific

73.6

77.2

-3.6

pts

71.8

67.1

+4.7

pts

Africa and Middle East

79.7

79.3

+0.4

pts

74.0

72.5

+1.5

pts

Total

77.7

77.4

+0.3

pts

76.5

74.1

+2.4

pts

Revenue tonne km (RTK) (m)

Cargo tonne km (CTK)

406

341

+19.3

2029

1723

+17.8

Total RTK

1368

1282

+6.6

6672

6035

+10.5

Available tonne km (m)

1912

1842

+3.8

9502

8907

+6.7

Overall load factor (%)

71.5

69.6

+1.9

pts

70.2

67.8

+2.4

pts

Certain statements included in this statement may be forward-looking and may involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied by the forward-looking statements.

Forward-looking statements include, without limitation, projections relating to results of operations and financial conditions and the company's plans and objectives for future operations, including, without limitation, discussions of the company's business and financing plans, expected future revenues and expenditures and divestments. All forward-looking statements in this report are based upon information known to the company on the date of this report. The company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

It is not reasonably possible to itemise all of the many factors and specific events that could cause the company's forward-looking statements to be incorrect or that could otherwise have a material adverse effect on the future operations or results of an airline operating in the global economy.

Investor Relations

Waterside (HCB3)

PO Box 365

Harmondsworth

UB7 OGB

Tel: +44 (0) 20 8738 6947

Fax: +44( 0) 20 8738 9602