Cyprus Airways made its last flight after declaring bankruptcy Jan. 9. This week, CAL Cargo Airlines has stepped in to replace the cargo division of the Cypriot carrier, beginning twice-weekly flights from Liège, Belgium, to Larnaca, Cyprus, and Tel-Aviv-Yafo, Israel, using 747 freighters.
The 68-year-old, state-owned Cyprus Airways was declared no longer “economically viable” by finance minister Harris Georgiades after EU regulators in Brussels ordered Cyprus to pay back about €65 million in illegal state aid.
“Cyprus is a key market for us,” said Eyal Zagagi, CEO of CAL Cargo Airlines. “We feel accountable to our customers in that region, and made a big effort to ensure a smooth transition.”The government of Cyprus is looking into starting a new airline if it can find serious investors, and has already secured the Cyprus Airways logo if successful.
The airline lost €55.8 million in 2012, more than double the €23.88 million loss in 2011.