BA CitiExpress competing with the low-cost sector

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Source: LONDON (Reuters) -

British Airways said on Tuesday it was relaunching its CitiExpress subsidiary aimed at competing with the low-cost sector.

The business, to be renamed BA Connect, offers services between regional airports in Britain, including London's City Airport, and destinations in Britain and Europe.

Europe's third-largest airline by traffic said in a statement BA Connect would offer year-round, changeable, one-way fares including taxes, fees and charges from 25 pounds ($44).

Like budget carriers, BA Connect flights will have a single-class cabin on all aircraft, and "buy-on-board" hot and cold catering.

"We have an innovative service promise for business and short-break leisure air travellers, offering year-round, one-way prices that match the no-frills airlines and the added service promise and resources of an airline of British Airways' size and stature," BA Connect managing director David Evans said.

Last week, BA reported a stronger December than a year earlier as passenger traffic rose 4.7 percent led by a rise in premium fare customers and new routes to India and Shanghai.

BA's load factor, which measures how efficiently it is selling seats, rose to 74.2 percent from 72.7 percent.