Air fares battle intensifies

AMERICAN Airlines, the world's largest carrier, yesterday stepped up the transatlantic air fares war by offering UK passengers pounds 30 return flights on any domestic US route. The offer applies to all 208 cities on American's US network and, according to the airline, could produce savings of up to pounds 200 for travellers.

The move comes after last week's savage fare reductions by British Airways, Virgin Atlantic and United Airlines, cutting the price of a New York return to as little as pounds 199.

Under the American offer, a mid-week return to Augusta, Georgia, for instance, will cost pounds 279 - a saving of pounds 197. The offer runs from 1 April to 15 June and is available only to passengers staying up to 30 days and taking in a Saturday night.