British Airways is restoring some services axed last autumn, in a signal the airline is pulling out of the revenue dive stemming from the 11 September terror strikes.

BA is to operate transatlantic Concorde services throughout the week from April, and restore overall traffic on Heathrow to US routes back to last summer's levels.

The move follows a better-than-expected revival in takings after demand slumped following the terror attacks, BA chief David Noyes said.

"This downturn is going to be a lot shorter than after the Gulf War," Mr Noyes, BA vice-president for North American sales, told the Times newspaper.

Less staff

But the company denied said that the improving situation would not allow it to curtail a job loss programme which is to cost 13,000 posts.

"The job losses are part of a planned programme, designed to ensure the security of remaining employees," a BA spokeswoman told BBC News Online.

"Just because our services are back to normal does not mean the number of passengers we are carrying is back to normal as well."

The company is thought to be making wider use of smaller planes.

"These need less staff to operate them," the spokeswoman said.

Tie-up plans

News of the service restorations came as reports said BA was pursuing a closer tie-up with Spanish flag carrier Iberia, already a partner in the One World Alliance.

The link represented a good fit, many analysts said, with BA strong on North Atlantic routes, and Iberia Europe's largest carrier to Latin America.

"It would allow us to build a presence in an different area," the BA spokeswoman told BBC News Online.

But she denied reports that BA had applied to European trade watchdogs for permission to operate a joint venture with Iberia on UK-Spain routes.

In the City, BA shares stood 13p higher at 255p in midday trade.

The shares have not closed at 255p or above since before the 11 September attacks.