Cyprus Airways is intending to lease out one of its two Airbus A330s and axe a large number of staff as part of an overhaul aimed at reversing losses at the flag-carrier.
The airline - which recently warned of a heavy full-year loss - refers to the "necessity of taking drastic measures" to "secure its viability", and has detailed an action plan which includes a "significantly modified" flight schedule.
As a result of the changes, it says, one of its A330-200s is available for sub-lease. Cyprus Airways says a lease would "boost considerably" the company's revenues.
The carrier adds that it will reduce staff costs with a redundancy plan affecting a "significant number of employees", while cuts will also be made to salaries for other personnel.
"In the forthcoming negotiations for the renewal of the collective agreements, the company will be seeking significant changes in its current mode of operation that will yield substantial savings," the airline adds.
Cyprus Airways is chasing the Government for compensation over a ban on its flights through Turkish airspace and air traffic control delays.