general

Air Lease says Russian law on leased jets could help in claiming insurance

A new Russian law on leased aircraft showed Moscow could "confiscate" planes and such a move might help it claim insurance, Air Lease Corp said at a time when leasing firms risk writing off jets stranded in the sanction-hit country. "It (the law) helps the insurance question because it demonstrates the intent to confiscate which is, I think, a critical aspect of our war-risk insurance," Air Lease chairman Steven Udvar-Házy said on Wednesday. The new law allows Russian airlines to place airplanes leased from foreign companies on the country's aircraft register and has raised fears of a mass default by jetliners. read more Global leasing companies have been scrambling to repossess more than 400 jets worth almost $10b from Russian airlines, who have mostly been unresponsive to demands for surrendering the jets. That has thrown up the possibility of a long-drawn tussle between lessors and insurers, who could face multi-billion dollar payouts. The law has prompted AerCap Holdings, the world's largest aircraft leasing company, to notify insurers of a potential $1b loss, according a report in The Insurer.<br/>

Russia moves to seize hundreds of planes from foreign owners

Russia is seizing hundreds of commercial jets owned by US and European leasing companies, a further sign of the challenges the country's airline industry faces due to sanctions following its invasion of Ukraine. President Vladimir Putin signed a law Monday as part of the government's anti-sanction measures that will allow Russian airlines to register planes leased from foreign companies in Russia, where they will be issued local certificates of airworthiness, according to a statement from the Kremlin. The bill will make it possible for Russian airlines to keep their foreign leased aircraft and operate the planes on domestic routes, while making it harder for foreign companies to reclaim their jets without Russian government approval. US and European sanctions imposed on Russia require leasing companies to repossess all planes they leased to Russian airlines by the end of the month. Western aircraft makers such as Airbus (EADSF) and Boeing (BA) have already cut off Russian airlines' access to the spare parts they need to maintain and safely fly their jets. Russian airlines operate 305 Airbus jets and 332 Boeing jets, according to data provided by aviation analytics firm Cirium. Russia also has 83 regional jets made by Western manufacturers such as Bombardier, Embraer and ATR. Only 144 planes in the active fleets of Russian airlines were built in Russia.<br/>

Russia's top airport cuts costs as sanctions bite

Russia's largest international airport, Sheremetyevo in Moscow, said Wednesday it was cutting back its services after the country was isolated by Western sanctions and passenger numbers fell dramatically. Traffic to and from the airport has been severely affected since Russia's military operation in Ukraine began three weeks ago. "Terminal E, Terminal D... and runway three have been temporarily put out of service, until passenger traffic and take-off and landing operations increase," the airport said. Sheremetyevo, the hub for Russian national carrier Aeroflot, said it would "suspend investment projects" and seek to "reduce costs", while activity was low. Airport management was working to maintain a "regular uninterrupted service in the current conditions" and prepare for the eventual resumption of normal activities. The airport was "constantly monitoring the situation", it said. The European Union and a host of countries, including the United States, Britain and Canada have closed their airspace to Russian airlines. Aeroflot suspended all its international flights from March 8.<br/>

Russia to press on with MS-21 and Superjet airliner projects

Russia said on Wednesday it would accelerate the development of its domestic civilian aerospace sector by focusing on flagship airliner projects such as the Irkut MS-21, also known as the MC-21, and the Sukhoi Superjet. Russia’s invasion of Ukraine has killed thousands, displaced more than 3 million people and raised fears of a wider confrontation between Russia and the United States, the world’s two biggest nuclear powers. After the United States and Europe cut it off from swathes of the global economy with retaliatory sanctions, Russia is facing its gravest economic crisis since the 1991 fall of the Soviet Union. “There has been no halt to the work of these enterprises and there will be none. Everyone is continuing work,” Deputy PM Yuri Borisov said, according to a government statement. “I stress again - we will press on with the implementation of our MS-21 and SSJ-100 flagship projects,” he said. Borisov said Russia’s military aerospace industry had thrived despite working under sanctions since 2014, when Crimea was annexed from Ukraine. But he acknowledged that the situation was more difficult for the civilian sector as so many projects depended on international cooperation. <br/>

Russian airlines face safety countdown to secure parts

Russian airlines have weeks to orchestrate alternative supplies of banned aircraft parts or start grounding jets to avoid safety concerns as Western sanctions following Russian's invasion of Ukraine threaten their post-Soviet revival. Moscow took a first step this week towards keeping its commercial fleet flying by allowing its airlines to re-register leased planes in Russia, giving local authorities direct control over the certificates of airworthiness needed for each jet. That reverses a two-decades-old agreement allowing leasing companies to keep hundreds of jets registered in Bermuda because of worries over Russia's legal system - a transfer of authority that has long been a source of irritation to Russian officials. Sheltered by those changes, Western analysts say airlines may start stripping some of Russia's 500 foreign-leased jets within weeks or even days for parts while shopping around for genuine, but resold, parts from countries such as China. The licence changes and jet-stripping herald a legal battle with lessors, but Russia's tightly regulated carriers are seen unlikely for now to resort to buying counterfeit parts as Iran was forced to do during decades of US sanctions. "Russian airport and airline managements are professional, as are the regulators. Everything will in all likelihood be clearly documented if they are allowed to get on with the job," said Paul Hayes, director of air safety at Ascend by Cirium. <br/>

Marubeni-owned aircraft lessor retrieves two Russian aircraft

The US-based aircraft leasing firm owned by Japan's Marubeni Corp and Mizuho Leasing has recovered two of the 12 aircraft it has been leasing to Russian airlines, it said on Wednesday. Connecticut-based Aircastle Ltd company is one of multiple lessors scrambling to retrieve aircraft leased to Russian airlines before sanctions, imposed in response to Russia's actions in Ukraine, take effect on March 28. So far it has retrieved two of the aircraft, an Aircastle spokesperson said, adding it had leased aircraft to six Russian airlines as of February. "It is our best intention that all Russia-based leases be terminated and that all aircraft be returned to our possession," the spokesperson said. The spokesperson declined to give further details, describing the situation as "difficult and fluid". Russia this week passed a law allowing the country's airlines to place airplanes leased from foreign companies on the country's aircraft register - a manoeuvre likely to stoke Western fears of a mass default involving hundreds of jetliners. Russian airlines have almost 780 leased jets, with 515 leased from abroad.<br/>

Federal government to end pre-arrival COVID testing for travellers entering Canada

The federal government will announce Thursday that travellers entering Canada will soon no longer have to take a pre-arrival COVID-19 test. Sources with knowledge of the matter confirm Canada is removing the testing requirements at airports and land border crossings. The ministers of health, transport and tourism will hold a press conference Thursday morning to announce the changes to border measures. Currently, travellers entering the country must show proof of a negative antigen or molecular test prior to their flight or arrival at the border. That testing requirement will be dropped by the end of the month for fully vaccinated travellers, the sources said. The move comes two years into the pandemic as travel picks up and provinces and territories end restrictions involving vaccine passports, gatherings and masks.<br/>

Air Canada Cargo opens new $16m cold chain facility

Air Canada Cargo’s $16m cold chain handling facility at its Toronto Pearson International Airport cargo hub has been inaugurated. The project was undertaken to expand and enhance Air Canada Cargo’s cold chain handling capabilities for shipments such as pharmaceuticals, fresh food and other perishables. Jason Berry, VP, cargo, at Air Canada, said: “The enhanced temperature-controlled facility is the only one of its kind for a Canadian airline and positions Air Canada Cargo to continue successfully growing our business, including the launch of our dedicated freighter aircraft.” Air Canada Cargo’s upgraded facility will feature over 30,000 sq ft of temperature-controlled areas and an expanded cooler to fully meet the requirements of cold chain shipments, such as pharmaceuticals, fresh food and other perishables. To contribute to Air Canada’s long-term net zero emissions goal, energy efficient equipment has been installed such as temperature controllers that will constantly monitor the conditions inside the facility and only regulate the temperature as needed, resulting in reduced energy consumption.<br/>

P&W concludes first PW1100G engine test on full-SAF

Pratt & Whitney has completed the first on-ground test using 100% sustainable aviation fuels on its GTF Advantage-configured PW1100G engines. The completion of the first test, which began on 1 March at its West Palm Beach facility, marks a “key step” for the North American enginemaker’s plans to roll out 100% SAF across its PW1100G-family engines. <br/>“The test is also a key element of an extensive development program to ready the GTF Advantage for entry into service in 2024, by validating the engine’s performance on 100% SAF in thrust transients, starting and operability,” says P&W. For the latest test, the enginemaker used 100% vegetable oil-based HEFA-SPK (hydroprocessed esters and fatty acids synthetic paraffinic kerosine) fuel acquired from USA-based World Energy. P&W is also working with the Commercial Aviation Alternative Fuels Initiative and ASTM International to validating its engines to operate with 100% SAF. Current standards allow for up to 50% SAF, blended with standard kerosene. <br/>

GlobalX to buy 200 Eve air taxis, plans South Florida operations

Embraer’s Eve Urban Air Mobility spin-off has clinched a letter of intent with Miami-based Global Crossing Airlines Group to acquire up to 200 electric vertical take-off and landing (eVTOL) aircraft, with deliveries scheduled for as early as 2026. Eve disclosed the deal on 16 March, saying it now has 1,785 eVTOLs in its backlog. “We will base the aircraft from our new line maintenance facility at Fort Lauderdale-Hollywood International airport,” Global Crossing CE Ed Wegel tells FlightGlobal shortly after news of the agreement broke. “We intend to use the aircraft to connect cruise passengers with our charter flights at Miami International airport and [Fort Lauderdale-Hollywood International airport].” Global Crossing, which operates under the brand GlobalX, joins SkyWest Airlines, Republic Airways, Kenya Airways, and aircraft lessor Azorra as Eve customers. GlobalX is establishing bases in Miami, Las Vegas and Atlantic City, and intends to launch a cargo division this year with converted A321 Freighters.<br/>