Aeroflot settles with Irish CDB Aviation on transfer of rights to four aircraft

MOSCOW. Oct 12 (Interfax) - Aeroflot has settled with Irish lessor CDB Aviation for 4 aircraft under operational lease, an airline representative told reporters.

"The lessor removed its claims against the Russian parties related to both the insurance policies issued by Russian insurance companies and the leasing agreements with PJSC Aeroflot. Ownership of the aircraft passed to the NSK LLC Insurance Company, which paid the settlement amount," an Aeroflot representative said.

Aeroflot is discussing an insurance settlement for 61 aircraft under operational lease with foreign lessors, CEO Sergei Alexandrovsky said previously. Ultimately, these airliners will become the property of a leasing company specially created for the purpose in Russia, he said. It will finance their acquisition from the National Wealth Fund, and Aeroflot will make leasing payments in its favor. This will allow the aircraft to be removed from the foreign registry, and allow them to be used on foreign routes without the risk of arrest.

At the beginning of September, Aeroflot announced a settlement with the Irish lessor AerCap for 18 aircraft and 5 engines. In early October, there was a similar deal for 17 aircraft with Irish SMBC Aviation Capital. These vessels also became the property of NSK, created by the Federal State Unitary Enterprise "Administration of Civil Airports (Airfields)" which is subordinate to the Federal Air Transport Agency. NSK controls the NLK-Finance leasing company, to which Aeroflot previously re-registered at least 10 Boeing 777s purchased from foreign lessors under financial leasing agreements (unlike operational leasing, it was not prohibited by Western sanctions).

In total, the fleet of Aeroflot group (which unites the namesake airline, Pobeda and Rossiya) operated 348 aircraft at the end of September, the company's website says.