Sir Richard Branson's Virgin Atlantic airline resurrects its "BA/AA no way" campaign today, three years after it peeled the mottos off its jets.

The airline is embarking on a £1m advertising and PR campaign to try to stop the renewed British Airways and American Airlines' alliance which, it fears, will force smaller airlines out of business.

The campaign, by the ad agency, Rainey Kelly Campbell Roalfe/Y&R, has been ready to roll for some time.

Virgin prepared its attack well in advance in case rumours of a renewed BA/AA deal proved to be true.

The Private Eye-style ads feature the BA chief executive officer, Rod Eddington, and the AA chairman and chief executive, Don Carty, with a speech bubble that says: "You can anti-trust us."

The first ad will appear in the Financial Times on August 7 and will then extend to other broadsheet publications and magazines such as the Economist.

Other executions for the campaign are ready to print while poster advertising is also being considered.

As part of the campaign to make the BA/AA deal the subject of public debate, Virgin will also re-apply the "BA/AA no way" slogans to its planes.

The slogans were removed from Virgin planes three years ago when BA's and AA's previous attempt to link up failed.

Guerilla marketing tactics are also to be used as part of the campaign.

As ever, Sir Richard is also preparing to take part in a variety of PR stunts.

He is also writing to the department of trade and industry, the treasury and the department of transport to voice his fears.

"We will spend £1m for this financial year but we are prepared to keep on fighting for as long as it takes," said a Virgin Atlantic spokesman.

In a first quarter results statement today, BA announced its intention to apply for anti-trust immunity and clearance with the UK and European authorities.

"We and American Airlines have announced plans for a new alliance that includes profit sharing on nine transatlantic routes, codesharing, frequent flyer interchangeability and joint scheduling, pricing and marketing," said the statement.

"If approved, it will result in many consumer benefits, including easier transfers, improved check-in and airport facilities and access to more destinations," the statement claimed.