American Airlines will start a daily nonstop service from Chicago to Birmingham, UK at the end of May. Elsewhere the carrier was set to begin daily services from Los Angeles to San Jose, Costa Rica at the end of January.

United Airlines launched four weekly services from Miami to Lima, Peru in mid-January. Under the bilateral with Peru, this is the maximum number of frequencies a US carrier can operate.

Continental Airlines has added a second daily flight on its New York/Newark to London/Gatwick route to begin in April.

Lufthansa has sold its 20.2 per cent stake in the Kempinski hotel chain to the Frankfurt-based Advanta Management company. Meanwhile the German carrier has bought a 25 per cent stake in Alpha Holdings, a tourism company.

British Airways has upgraded its participation in both Sabre and Amadeus to the highest level.

Air Belfast will begin its inaugural service from Belfast to London/Stansted in March.

Air France is to add a weekly service to its existing schedule to Rio de Janeiro and Sao Paolo. To accomodate this, the French flag carrier will withdraw from Recife, which has been a loss-making route.

British Midland will begin an Edinburgh-Copenhagen service from the beginning of March. The service will run six times a week.

Air Aruba and KLM have agreed a codesharing arrangement between Aruba and Amsterdam and are investigating further cooperation.

Singapore Airlines, Tata Consultancy Services and Datamatics Limited have formed a joint venture company to develop and maintain computer software. The company will be based in India.

Source: Airline Business