LORD King has stepped down as chairman of British Airways (BA), less than a month after the flag-carrier admitted a dirty tricks campaign against rival Virgin Atlantic Airways and its chief, Mr Richard Branson.
Following a company board meeting yesterday, BA said current chief executive Sir Colin Marshall would replace him.
Earlier reports had said Lord King would retire to ''ensure the continuity'' of the company's top management.
Some major shareholders have told the company that they have strong doubts about the wisdom of appointing Sir Colin to the roles of both chairman and chief executive.
Last week they told Mr Derek Stevens, BA's finance director, that there was a ''need for checks and balances on the board''.
Lord King, 75, was due to retire in July to become president for life of the former state-owned company, which was listed in London in January 1987. He will still take up this position.
Mr Robert Ayling was appointed BA group managing director, also with immediate effect.