Aeroflot Group said in a statement that it had “completed the process of settling relations” with lessor BOC Aviation regarding eight aircraft, as well as one aircraft under its management, the ownership for which has passed to Russian state insurance company NSK, which paid the settlement amount.

In accordance with the agreement, the Singapore-based, Bank of China-owned lessor has ceased its claims against Aeroflot (SU, Moscow Sheremetyevo) and its subsidiaries Pobeda (DP, Moscow Sheremetyevo) and Rossiya (FV, St. Petersburg), both under leasing agreements with the carriers and under insurance policies that Russian insurance companies issued, the statement said.

It added that additional talks are in progress with other lessors of foreign-made aircraft detained in Russia since international sanctions followed the invasion of Ukraine, but it gave no further details of the deal with BOC Aviation.

However, in its own voluntary announcement to the Stock Exchange of Hong Kong, the lessor said that its subsidiary BOC Aviation (Ireland) had received a cash payment of around USD208 million under an insurance settlement with NSK in respect of eight aircraft that were formerly leased to Pobeda. BOC has now released its claims against NSK, Pobeda, and other relevant parties in Russia in relation to these aircraft.

“The insurance settlement and receipt of the settlement proceeds are consistent with all applicable sanctions regimes,” it stressed.

The lessor said it would “continue to pursue all opportunities for the recovery of the full value of all aircraft detained in Russia from all available sources but is unable at present to ascribe a value to any such potential future recovery.”

As ch-aviation reported at the time, it was revealed in September 2016 that Pobeda would lease five B737-800s from BOC Aviation for the twinjets to be delivered from 2017 onwards on ten-year leases. BOC later delivered three additional aircraft of the same type between January and August 2018, also for ten years.