I also choose 2. In this situation, upon arrival at A, I would make an on the spot assessment whether holding will get me in, and if not certain, then divert to B and hold there if required. (I was taught to make a decision to divert on arrival, not after holding).
Having decided to hold at A, if there was a subsequent navaid failure during the hold which forced me to divert to B, upon diverting I would inform ATC that if on arrival at B, I have to hold, I will be declaring a fuel emergency.
Last edited by bentleg; 29th July 2012 at 21:55.