Virgin Atlantic readies ad drive to block BA-American merger.

Virgin Atlantic will tell consumers why BA's proposed tie with American Airlines is against their interests, in a pounds 3m ad campaign that is part of a plan to scupper the deal.

The campaign, which Sir Richard Branson's airline has said could break at any time, claims the merger will reduce choice and restrict price reductions. A Virgin spokesman said: 'It will demonstrate why a bigger BA is bad.'

Branson has written to US presidential candidates Barack Obama and John McCain claiming that 'the proposed alliance would damage competition on major transatlantic routes and leave consumers worse off'.

BA is expected to file for permission from the US …