GGoovv’’tt aaiimmss ffoorr nneeww ccoommppaannyy

The government will try to create a new national carrier to replace Cyprus Airways that shut down on Friday after a European Competition Commission ordered Cyprus to recover incompatible aid of about 100 mln euros, effectively forcing it into bankruptcy.

President Nicos Anastasiades said the state will try to find jobs for most of the 550 staff presently out of a job.

“I am deeply sorry for the unavoidable and unpleasant developments concerning Cyprus Airways as the result of the European Commission decision,” Anastasiades said in a statement, his first since the company folded.

He said authorities would explore the possibility of creating a new company with the private sector. Any new entity would carry the name and logo of the now-defunct airline.

Efforts to find a private investor to take over the airline failed last year. Authorities contracted Top Kinisis Travel for a month to handle ticketing arrangements for an estimated 11,000 people who pre-booked and paid for tickets.