According to the source of the publication “Kommersant”, three airlines – Aeroflot, Ural Airlines and iFly – reached a preliminary agreement with the Ministry of Transport on the allocation of funds from the National Welfare Fund for the re-registration of 40 foreign aircraft into Russian ownership. Analysts estimate that the insurance payment for these aircraft will require from 80 to 96 billion rubles. Companies will have to devote all of their 2022 net income to these transactions. At the same time, S7 is still negotiating with the Ministry of Transport and foreign owners, so this requirement will only greatly affect them. According to Kommersant, Utair decided to do without government funding.
It is reported that Aeroflot has agreed to purchase 18 aircraft from the Irish company AerCap, Ural Airlines – 19 aircraft from different owners, and iFly – three Airbus A330 aircraft from the American company Air Lease Corporation. At the beginning of the summer, Aeroflot was planning to buy at least 47 aircraft, but as a Kommersant source put it, an “extremely complex approval process” is underway.
The main incentive for re-registering aircraft from foreign ownership to Russian ownership lies in the possibility of their use abroad after removal from the Bermuda and Irish registers.
As of March 13, 2022, Russian airlines operated 721 aircraft registered in Bermuda. It is expected that 520 aircraft will remain until the end of the year, and 475 aircraft will remain until the end of June 2023.
Russian airlines plan to enter into deals with Western aircraft owners as part of the insurance deal allowed by EU sanctions. In the case of US companies, a direct purchase option may also be considered. However, performing such transactions requires a license from the US Department of the Treasury (OFAC), usually issued for three months and valid until the end of September.
Some airlines are already ready to do the calculations, while others are still in the approval phase. According to a source from the Ministry of Transport, S7 does not plan to give up the possibility of government funding. The company is still in the approval process despite starting earlier than others. S7 plans to purchase aircraft from foreign charterers and is preparing to evaluate applications.
Previously reportedthat the birds began to crash into Russian planes more often.