Dublin-based aviation leasing firm AerCap has issued an update on its insurance claims that relate to aircraft impacted by the conflict in Ukraine.
In its latest earnings report, AerCap noted: “During the fourth quarter of 2023, we recognised recoveries related to the Ukraine conflict of US$614 million, primarily consisting of cash insurance settlement proceeds received from four Russian airlines and their Russian insurers in settlement of our insurance claims in respect of 50 aircraft and five spare engines on lease to these airlines at the time of Russia’s invasion of Ukraine in February 2022.”
According to AerCap – whose net income for the full year and the fourth quarter amounted to US$3.1 billion and US$1.1 billion, respectively – to date, it has recovered more than US$1 billion in cash insurance settlement proceeds.
In her results comments, AerCap chief executive Aengus Kelly said: “We are pleased to announce another record quarter for AerCap, completing a record year for our company across many fronts. These results reflect the continued strong operating environment across our businesses and the positive momentum for leasing and sales of aircraft, engines, and helicopters.
“In addition, this quarter we collected over US$600 million of insurance settlements, for a total of US$1.3 billion collected during 2023. This strong performance is a testament to the talent, dedication, and commitment of the entire AerCap team and our industry leadership. Given the strong tailwinds that we see for demand for aircraft, engines, and helicopters, we are confident about the outlook for AerCap in 2024 and beyond.”
AerCap’s portfolio, as of the end of 2023, consisted of 3,452 aircraft, engines, and helicopters that were either owned, on order, or managed.
Last December, it was reported that Dubai Aerospace Enterprise received approximately US$118 million in cash insurance settlement proceeds from Aeroflot’s insurer NSK.
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