Air Lease Corp., an aircraft leasing company, announced on Monday that it has received $328.5 million in cash as part of insurance settlements. This payment is related to aircraft that were stranded in Russia after the country invaded Ukraine in 2022.
Before the invasion, Russia was an important market for aircraft leasing companies. They would buy jets from major manufacturers like Boeing and Airbus and lease them to Russian airlines. However, after Western countries imposed sanctions, these leasing agreements were canceled. Russia, in turn, refused to return the aircraft, leaving them effectively detained.
Since then, Air Lease and other lessors have been working with their insurance companies to recover losses from these stranded jets. In its recent regulatory filing, Air Lease reported that it has recovered a total of about $424.3 million from an initial claim of $791 million. The company is still in discussions with additional insurers to settle further claims.
This situation highlights the ongoing challenges faced by the aviation industry due to geopolitical tensions and regulatory changes. As the conflict continues, the future of aircraft leasing in Russia remains uncertain.