The Russia/Ukraine conflict has led to a monumental decoupling of Russia from the global economy, with dire consequences for many industries—including the aircraft leasing industry. Western governments’ still-evolving sanctions regime has inspired retaliatory decrees by the Russian Federation, which collectively have engendered significant financial losses for companies doing business with Russian entities. As we previously reported, Western companies leasing an estimated $10 billion worth of aircraft to Russian airlines are facing a total loss of their property. Western governments have ordered lessors to repossess aircraft, but a Russian Federation decree mandates that Russian airlines not return (or “export”) such aircraft to their Western owners.
