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Low-cost airline Cobalt has cancelled all flights from midnight Wednesday according to a statement on its website.

The carrier, which has operated flights in and out of Cyprus since 2016 - including flying UK holiday-makers to the island - has suspended operations.

Local media said Cobalt had failed to reach a deal with a potential new investor.

The Cyprus Mail said the airline's main backer is China's Avic Joy Air.

The airline's statement said future flights would not operate due to "indefinite suspension of Cobalt's operations", and advised passengers not to go to the airport.

They should contact their credit card provider or travel agent instead, it added.

It is not yet clear how many passengers have been affected, but nine flights had been scheduled to arrive and nine to depart from Larnaca airport on Thursday.

It flew to 23 destinations in Europe - including Heathrow, Stansted, Gatwick and Manchester in the UK - as well as Russia and the Middle East.

Passengers reacted with concern on Twitter.

Cypriot Transport Minister Vassiliki Anastassiadou said the government would pay for tickets to help travellers get back to where they started from, but stressed it would only cover return tickets.

She said telephone numbers would be announced soon to help passengers stranded either in Cyprus or overseas.

The fate of Cobalt's 200 staff is unclear.

Last year, Cobalt said it had carried 740,000 passengers in its first 16 months of operation. By contrast, Europe's biggest airline Lufthansa carried about 130 million people last year.

Before 2016, short-haul flights out of Cyprus were dominated by state-controlled Cyprus Airways. But it collapsed, which left room for the new operator.

Danish budget carrier Primera Air ceased trading earlier this month after 14 years of operation.</s>ATHENS, Oct 18 (Reuters) - Cyprus said on Thursday it would offer refunds or assume the cost of rebooking passengers stranded by the collapse of Cobalt, a Cypriot budget carrier which went bust on Wednesday night.

Cobalt, which carried approximately 3,000 passengers daily, went into administration after talks to find an investor fell through.

The company had a fleet of six Airbus A320s under lease and flew to about 20 destinations. It launched operations in 2016, backed by Chinese investors.

"It is a sad day for all the employees and passengers of Cobalt Air. The company has been working relentlessly during the past months to secure the long-term financing of the airline," Cobalt said in a statement.

The company went into administration at midnight Wednesday, it said.

Cyprus's transport ministry said Cobalt passengers scheduled to travel on Oct 17 or 18 needed to purchase a new ticket with another carrier and would be reimbursed. It gave contact details of two Cyprus-based travel agents which would arrange transport for others scheduled to fly until Oct 24, with the cost assumed by the state.

Cobalt, which employed about 200 people, was popular among the Cypriot diaspora for its competitive prices to the UK and Greece. (Reporting By Michele Kambas; Editing by Kirsten Donovan)</s>Cypriot low-cost carrier Cobalt Air announced it was cancelling all flights from Thursday after just two years in operation, leaving passengers stranded and scrambling to get their money back.

The airline warned customers its offices would no longer be staffed and urged them to seek refunds through their travel agent or credit card company.

In a brief announcement issued on its website without prior warning late on Wednesday, the airline said it was cancelling all flights from 23:50 pm (2050 GMT) "due to indefinite suspension of Cobalt?s operations".

"As a result, future flights or services provided by Cobalt will be cancelled and will no longer operate," it added without elaborating on the reasons.

The airline advised passengers who have tickets not to go to the Mediterranean holiday island's main airport at Larnaca on Thursday or attempt to contact its offices "as no Cobalt flights will operate and no Cobalt staff will be present".

"For refunds, please contact your credit card provider or travel agent," its statement said.

"We sincerely apologise once again and would like to thank our very loyal customers for their support over the last two years of Cobalt operations."

Cobalt, the largest Cypriot airline since the collapse of the state-owned flag carrier, ceased operations after reports that it had failed to reach a deal with a potential European investor.

It is not yet clear how many passengers have been affected by the sudden shutdown.

But the Cypriot transport ministry said passengers expecting to fly with Cobalt on Thursday should secure one-way tickets in economy class from another airline and keep their receipt to be reimbursed.

Nine flights had been scheduled to arrive and nine to depart from Larnaca airport on Thursday.

Transport Minister Vasiliki Anastasiadou said that any stranded passengers in Cyprus would be helped.

Reportedly, the company has only 15 million euros in its accounts, which it needed to pay its 200 staff.

There was speculation that the budget airline was facing cash flow problems after two of its aircraft were grounded for two days.

Although Cobalt refused to comment on the rumours, sources within the company reportedly attributed the liquidity problems to difficulties faced by Chinese investors in exporting capital due to Chinese government restrictions.

The airline's largest shareholder is AJ Cyprus, with 49 per cent of the shares. AJ Cyprus is owned by China's AVIC Joy Air.

Cobalt stepped in to replace bankrupt state-owned Cyprus Airways, which shut down in January 2015.

Cobalt started flight operations in 2016 and acquired six aircraft -- two Airbus 319s and four Airbus 320s ?- flying to 23 destinations.</s>LONDON – Cypriot carrier, Cobalt Air, has gone under bankruptcy protection following struggling conditions in both the Cypriot and international market.



Up to 350 jobs are going to be lost. The carrier, which has lasted for a total of two years and four months, will now enter administration proceedings.



In a statement, the carrier noted that all operations were ceasing as of 23:50 local time on October 17, 2018.



“Cobalt regrets to announce that it will be canceling all Flights as of 23:50 pm on October 17, 2018, due to the indefinite suspension of Cobalt’s operations,” said the airline.

“As a result, future flights or services provided by Cobalt will be canceled and will no longer operate.”



The airline added that all passengers with outstanding tickets “are instructed not to go to Larnaca Airport or any departure airport tomorrow, 18 October 2018 as no Cobalt flights will operate and no Cobalt staff will be present.”



For refunds, the carrier asks passengers to call directly the credit card provider or travel Aagent.



“We sincerely once again and would like to thank our very loyal customers for their support over the last two years of Cobalt operations,” ends the statement.



Cobalt: Where it all began



Cobalt Air didn’t have a long track. It was founded in 2015, starting operations in June 2016. The airline was aiming to become the new Cyprus Airways, which went bankrupt in 2015. 



Cobalt started operations with a sole Airbus A320 aircraft, which arrived in April 2016, the same month they received their Air Operating Certificate (AOC). 



The first revenue flight took off on the 14th June 2016, between Larnaca and Athens, in Greece. Soon after, five more routes followed to Dublin, Heraklion, London-Stansted, Manchester, and Thessaloniki.



Over the course of 2017 and early 2018, the airline launched further 17 routes to a number of destinations in Europe and Asia.

Cobalt did also fly to Birmingham and Brussels at one point, but these routes were both axed from their network.



The airline’s fleet also grew from a sole A320 to four A320s and two A319s in the span of a year and a half.



Cobalt Air had plans to add two Airbus A330-200s to its fleet, so it could start long-haul flights to China, South Africa and the US.

The deal was to be finalized at the end of 2017, for them to start flights at the end of 2018, however, nothing ever materialized.



Cobalt’s last flight was C0327 between London-Heathrow and Larnaca. The flight departed Heathrow at 18:00 GMT landing into Larnaca four hours later. It was operated by Airbus A320-232 (5B-DCR
• MSN 0928).



Although this is a sting for Cobalt Air, it is going to be yet another wound for ill-fated Etihad Airways, who signed interline agreements with the Cypriot airline on services between Larnaca and Abu Dhabi.



While this is not a direct investment to the airline—as it was with failed Air Berlin and Alitalia—it was an investment into the city of Larnaca, of which Etihad pulled out back in 2014. 



Services launched in February 2018, with such agreements being able to link Larnaca with up to 100 destinations. 





Although Cyprus Airways has re-surfaced in recent times, the national carrier that was launched in 1947 and ceased in 2015. Cobalt will now join that element of demise in the Cypriot market.



Around about the same time that Cobalt Air launched, Charlie Airlines Ltd won a tender competition for the right to use the Cyprus Airways trademark for ten years.



The carrier is based at Larnaca, with the mission to “build a strong and reliable airline, offering safe and enjoyable flights to and from Cyprus. 



Moreover, Cypriot carrier Tus Airways is also in financial difficulties. The airline had to ground three of its planes due to aircraft components needing repair.



With Cobalt going under, what’s the likelihood that Cyprus Airways and Tus Airways go under?





Looking Towards The Future



Another carrier bites the dust in the European arena, following Primera Air’s recent demise.



This bankruptcy, in particular, shows how volatile this industry actually is—one where only the strongest survive. And in the likes of Primera, Cobalt Air was nowhere near the strength needed to stay afloat.



In this case, all eyes are now on the industry to see which carrier is next to go in the food chain. It seems at the moment, quite literally, the airlines are dropping like flies.</s>Cobalt Air ceased operation from late last night and has announced all flights and services provided by the Cypriot airline will be cancelled. Cobalt informed the Cyprus Ministry of Transport at 9pm on Wednesday night it would be closing down shortly after midnight on Thursday. The carrier’s website is now down and simply displays a message alerting users to its collapse. “Cobalt regrets to announce that it will be cancelling all Flights as of 23:50pm on October 17, 2018 due to indefinite suspension of Cobalt’s operations,” said the statement.

“As a result, future flights or services provided by Cobalt will be cancelled and will no longer operate. “Passengers who have un-flown tickets are instructed not to go to Larnaca Airport or any departure airport tomorrow, 18 October 2018 as no Cobalt flights will operate and no Cobalt staff will be present. “For refunds, please contact your credit card provider or Travel Agent. “We sincerely apologise once again and would like to thank our very loyal customers for their support over the last two years of Cobalt operations.” Passengers who are affected by Cobalt’s collapse are advised to buy an alternative single ticket in Economy and seek reimbursement from the Cyprus Ministry of Transport. Travellers should keep all the evidence and receipts to be eligible for reimbursement.

Those due to fly with Cobalt in the next seven days “will be informed with subsequent announcements for arrangements for their repatriation,” said the Ministry in a statement on Twitter. The Ministry has said in response to the airline’s demise that it hoped for a “smooth and best possible operation for the repatriation of stranded passengers.” It also said it would “exert all efforts to minimise the inconvenience of the passengers.” Cobalt, which had its main hub at Larnaca International Airport in Cyprus, flew from Gatwick, Heathrow and Manchester to Larnaca. The carrier also flew from Gatwick to Athens and offered connections to Beirut and Tel Aviv as well as serving Frankfurt, Moscow and Paris. Cobalt had only been in operation for two years after being set up with the aid of Chinese investors.</s>Cobalt Air suspended (17-Oct-2018) operations as of 23:50 17-Oct-2018. The carrier said: "As a result, future flights or services provided by Cobalt will be cancelled and will no longer operate". Cyprus' Ministry of Transport, Communications and Works stated a meeting is being held with representatives of the Department of Civil Aviation, Treasury, Hermes Airports and other stakeholders, with the aim of achieving the best possible operation for the repatriation of the stranded passengers. [more - original PR] [more - original PR - II]</s>The Cyprus based airline Cobalt Air has announced that they have canceled all of their flights and suspending all of their operations indefinitely, with a warning for customers not to go to the airport even if they have booked flights, reports The Guardian.

Cobalt entered into business in 2016 and primarily focused on flying guests to and from the country of Cyprus, but included 23 other destinations that included Heathrow, Stansted, Gatwick and Manchester airports in the United Kingdom. The announcement of the cancelation came at 11:50 p.m. GMT on Wednesday night, leaving many travelers on Thursday unaware that their flights were not going ahead.

In a statement the airline released later to the Cyprus Mail, Cobalt revealed that they were unable to secure long-term funding and thus forced to call in the administrators.

The statement read, “It is with great regret that we must inform you that Cobalt Air will cease all operations at midnight on 17 October 2018 and enter into administration process, after two years and three months of operations. [It] is a sad day for all the employees and passengers of Cobalt Air. The company has been working relentlessly during the past months to secure the long-term financing of the airline.”

Vasiliki Anastasiadou, the transport minister for Cyprus, has given his support to everyone that has been left stranded in the country or without a flight to get in and vowed to provide state support in rectifying the situation. Anastasiadou added that he would soon announce a phone number the stranded can use to have the issues personally taken care of.

Cobalt isn’t a singular case for smaller airlines in Europe, as Denmark’s Primera Air met its demise earlier in October and the United Kingdom’s Flybe warned of rising losses on Wednesday, citing a drop in customer demand paired with higher fuel prices.

A representative from Heathrow airport in London said, “We will provide assistance to customers who turn up at the airport.”

Cobalt has recommended to its customers with unused tickets not to go to Cyprus’ Larnaca airport or any other airport where they would be flying to Cyprus because there would be no Cobalt flights taking off, as well as no staff of the airline present.

The airline, which was is the largest in Cyprus, also advised customers to make contact with their credit card provider or travel agent in order to secure refunds.

Cobalt Air was created after the collapse of the state-run Cyprus Airways in 2015. It consisted of six aircraft and a staff of 200. It has yet to be seen how many travelers have been affected.</s>Cobalt Air Cancels All Flights Due to “Indefinite Suspension” of Operations

Cyprus-based low-cost carrier Cobalt Air has cancelled all flights and “indefinitely suspended” operations. Cypriot transport minister Vassiliki Anastassiadou has said that alternative arrangements would be made.

Cobalt Air began operations in 2016 following the collapse of Cyprus Airways and this summer was operating two flights a week from Dublin to Larnaca, on Wednesdays and Saturdays.

In a statement posted on its website, the airline says: “Cobalt regrets to announce that it will be cancelling all flights as of due to indefinite suspension of Cobalt’s operations. As a result, future flights or services provided by Cobalt will be cancelled and will no longer operate.

“Passengers who have un-flown tickets are instructed not to go to Larnaca Airport or any departure airport tomorrow, 18 October 2018 as no Cobalt flights will operate and no Cobalt staff will be present.

“For refunds, please contact your credit card provider or travel agent.

“We sincerely apologise once again and would like to thank our very loyal customers for their support over the last two years of Cobalt operations.”</s>Bank of Cyprus announced on Thursday that all customers who used their BoC cards to buy tickets from Cobalt Air to travel after October 17, 2018, have a right for a refund.</s>NICOSIA, Cyprus — Cyprus-based airline Cobalt Air suspended all its operations indefinitely after failing to find new investors to keep it flying, officials said Thursday.

As stranded passengers scrambled to find alternative flights to reach their destinations, Cyprus' government said it will compensate Cobalt Air ticket holders who fly to and from the Mediterranean island on other carriers.

In a statement, the Cypriot transport ministry said passengers would be compensated for one-way, economy class tickets on other carriers up until Oct. 24. Cypriot travel agencies Orthodoxou Travel and Top Kinisis have been authorized to book return flights.

"We feel the need to help passengers who are stranded either in Cyprus or abroad and want to return to their place of residence," Cyprus' Transport Minister Vassiliki Anastassiadou told reporters.

Cobalt's six Airbus passenger jets have been grounded, although the airline still exists as a legal entity. Cobalt flies to 22 destinations in Europe and the Middle East.

Cobalt Air Chairman Grigoris Diakos said the airline ceased operations after its backers halted financing and a search for new investors led nowhere. He said there's still a chance to save the airline, as long as it keeps its licenses long enough to sound out potential new investors.

A senior executive from the airline, Philokypros Roussounides, told The Associated Press that there's still interest by some companies to invest. He said passengers were eligible for full refunds whether they paid by credit card or made arrangements through travel agencies.

In a statement, Cobalt Air called the suspension of its operations "a sad day" for the airline and its employees after "working relentlessly during the last months to secure long-term financing of the airline."

"This is an enormous disappointment after the incredible hard work and dedication put into building the airline," Cobalt said.

Cobalt Air began flying in 2016 in the wake of the collapse of national carrier Cyprus Airways. It was recognized as the best startup airline for 2017 by industry analysts CAPA-Centre for Aviation.
Cobalt Air suddenly announces its dissolution, cancelling all future operations and leaving many passengers stranded in Cyprus.