ANN RealTime Update -- 1055 EST, 08.10.06: More than twenty arrests are now reported for a plot that not only targeted US bound flights, but seemed to deliberately orient themselves for flights to NYC, Washington and California.

At current report, five suspects are still at large, carry-on baggage has been severely restricted on UK-US flights and US Air Marshals are taking to the air in greater numbers in order to add an extra layer of protection. Internationalk air travel has been severely hampered as a result of this alert and extensive delays are being reported. The origin of the threat is reported to have "very strong links to al Qaeda."

Authorities in the UK have reportedly foiled what appears to have been a significant terrorist plot to place explosive devices on US-bound airliners flying out of the UK.

The plot was supposed to have involved as many as 20 passenger airliners that were to be blown up using hard-to-detect liquid explosives smuggled on board hand luggage.

Nearly 20 arrests have already been made, involving mostly British-born Asian males. Other arrests are expected and a massive investigation is said to be underway, resulting in extensive delays and restrictions on UK flights to North America. British officials have raised the national security level form "Severe" to "critical" and air travel out of the UK is said to have been slowed to a virtual standstill.

Scotland Yard has characterized the threat as a "major operation." and noted that the investigation that led to the arrests was, "... was carried out with public safety uppermost in our minds."

British Home Secretary John Reid was quoted in the UK media describing the plot "to bring down a number of aircraft through mid-flight explosions causing a considerable loss of life."

The US Department of Homeland Security has acted, as well. Increasing security precautions due to the UK threat, DHS upgraded its threat levels Thursday, stating that, "...the United States Government has raised the nation's threat level to Severe, or Red, for commercial flights originating in the United Kingdom bound for the United States."

Statement From Scotland Yard

A major terrorist plot to allegedly blow up aircraft in mid-flight has been disrupted in a joint pre-planned intelligence-led operation by the Met's Anti-terrorist Branch and Security Service.

It is believed that the aim was to detonate explosive devices smuggled on board the aircraft in hand luggage.

It is also believed that the attacks would have been particularly targeted at flights from the UK to the USA.

Overnight police have arrested a number of people in London. These arrests are the culmination of a major covert counter-terrorist operation lasting several months.

We would like to reassure the public that this operation was carried out with public safety uppermost in our minds. This is a major operation which inevitably will be lengthy and complex.

Home Secretary John Reid said:

"Overnight the police, with the full knowledge of Ministers, have carried out a major counter-terrorism operation to disrupt what we believe to be a major threat to the UK and international partners.

"The police, acting with the Security Service MI5, are investigating an alleged plot to bring down a number of aircraft through mid-flight explosions, causing a considerable loss of life. The police believe the alleged plot was a very significant one indeed.

"At 2am this morning the Joint Terrorism Analysis Centre raised the UK threat state to its highest level: 'Critical'.

"This is now being publicly announced as I promised to Parliament last month. This is a precautionary measure. We are doing everything possible to disrupt any further terrorist activity.

"This will mean major disruption at all UK airports from today. But as far as is possible we want people to go about their business as normal."

FMI: http://www.met.police.uk/