S7 Airlines reregisters 45 foreign aircraft to Russian ownership

S7 Airlines has concluded a settlement with multiple foreign lessors, including AerCap, Air Lease Corp, and SMBC Aviation Capital, involving 45 medium-haul aircraft and 4 aircraft engines. This settlement resolves claims under lease agreements and insurance policies, enabling the transfer of ownership to Russian parties. Negotiations with other lessors are ongoing, with legal support from Better Chance.

These 45 aircraft constitute nearly half of S7’s fleet, which primarily consists of European Airbus A320/321, American Boeing 737, and Brazilian Embraer aircraft. The transaction’s total value, around 45-50 billion rubles, includes S7’s own funds, according to an industry source.

The re-registration of these foreign aircraft under Russian ownership safeguards them against potential sanctions, enabling their use for international flights without the risk of seizure. This move aligns with similar actions taken by other Russian airlines (Aeroflot, Ural Airlines) following government allocations from the National Wealth Fund for purchasing foreign aircraft.

S7 Airlines, founded by Vladislav and Natalia Filev, stands as the largest private aviation group in Russia.