Cyprus Airways (1947) (CY, Larnaca) is teetering on the brink of collapse following reports that two more aircraft, an A319-100 and an A320-200, have been put up for sale as Nicosia desperately tries to find a solution to the airline's crisis. As part of a raft of painful cost-cutting measures, the decision has been made to leave the Greek domestic market entirely with effect from July 1 while at the same time, 490 out of 1'040 staff will be laid off to help reduce wage overheads. It is also reported that the government has already set up another company which will take over the airline's operations at some point, though this has yet to be corroborated. With repeated attempts at finding buyers willing to invest in the struggling airline failing, Nicosia was forced to inject USD130million (EUR100million) of its own money at the beginning of the year. The move has now resulted in an inquest by the European Commission to see whether or not the funds contravened EU regulations regarding state aid.