Amexco drops BA's preferred-carrier status

LONDON -- American Express, which said it has a longstanding policy of not according preferred-supplier status to companies that limit acceptance of its credit card, dropped British Airways as a preferred airline.

BA on June 1 launched a corporate net-fares program in the U.K. that includes a provision whereby it will not be the merchant for clients that wish to pay with credit cards.

American Express said this is a breach of the BA merchant agreement, and litigation is pending is the U.S. over the matter.

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