Nov. 20 (Bloomberg) -- London's Heathrow airport would be able to add 75 new destinations if a third runway was built, British Airways Plc Chief Executive Officer Willie Walsh said.

``The fact is that Heathrow's global reach is shrinking,'' Walsh said today. ``In a globalized economy, you cannot be an elite business center unless you have the highest-quality air- transport links to the rest of the world.''

Constraints at Heathrow, Europe's busiest airport, mean the number of cities served has shrunk to 180 from 227 in 1990, Walsh told the Guild of International Bankers in London. Meanwhile, continental European hubs have grown, according to the CEO, with Frankfurt offering 265 destinations and Amsterdam 260.

The U.K. government is expected to start a public consultation on building a third runway, Walsh said. Heathrow, owned by Group Ferrovial SA's BAA Ltd. unit, is operating at 99 percent of its permitted flight capacity and attracting 68 million travelers annually to buildings designed for 45 million.

``There has been relentless criticism of the state of the airport, from the condition of the toilets to delays in security processing, to non-working escalators and the length of treks from aircraft gate to arrivals hall,'' Walsh said. ``The truth is that Heathrow has been struggling for a long time.''

With only two runways, the number of locations served will fall to 150 by 2015 as airlines use scarce takeoff and landing slots to focus on the most profitable routes, Walsh said. Frankfurt has three runways with a fourth under construction. Paris already has four and Amsterdam has five, he said.

Heathrow ``would have no more than half the network provided by competitor European hubs,'' the CEO said. ``In these conditions, it is inconceivable that London would remain the world's business capital. We would see a steady exodus of companies relocating abroad.''

To contact the reporter on this story: Tracy Alloway in London at talloway@bloomberg.net

Last Updated: November 20, 2007 14:04 EST