Aer Cap agrees a $645 million settlement over 17 Russian planes and engines leased to Aeroflot
Aer Cap, the world’s largest leasing company, has agreed a settlement worth $645 million with NSK over 17 Russian planes and engines that were leased to Aeroflot and its subsidiary, Rossiya.
The planes will now be owned by NSK as part of the settlement, with Aer Cap receiving permission from the US Treasury and Commerce departments to complete the deal.
The settlement may potentially lower the large bill facing insurers who are locked in a long and complex legal fight for payment of losses amounting up to $10 billion arising from the conflict.
However, Aer Cap’s settlement does pave the way for some good news for London-based insurers who are involved in a $3.5 billion lawsuit with Aer Cap, who following the recent settlement, announced they would only be seeking $2.7 billion.
The lawsuit was filed by Aer Cap against all-risk insurers under what they called “our contingent and possessed insurance policy”.
Aer Cap’s claim was centred around 141 aircraft and 29 aircraft engines that were leased to Russian airlines that are now owned by the Russian Government, following the invasion of Ukraine.