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S7 Airlines has declined to negotiate the transfer of its grounded A320neo aircraft to foreign carriers from Egypt and the Philippines, despite their expressed interest. Currently, the majority of S7’s A320neo fleet remains out of service due to ongoing Pratt & Whitney engine issues. An intermediary company had offered to assist with insurance settlements for these idle aircraft, but the Russian Ministry of Transport did not take these proposals seriously, according to a report by Kommersant on September 10.

The issue of grounded aircraft remains a pressing concern for the Russian aviation sector. Since the onset of the special military operation in 2022, a significant portion of Russia’s commercial fleet has been effectively immobilized, turning modern jets into costly static assets at airports. The situation is particularly acute for S7 Airlines’ “green” A320/A321neo aircraft, which have never entered commercial service.

Previously, MelonAero, a Montenegro-based intermediary, submitted proposals to the Russian government, the Ministry of Transport, and S7 Airlines (also known as Sibir Airlines) on behalf of private carriers AlMasria (Egypt) and SEAIR International (Philippines). These proposals involved the purchase or lease of up to five A320/321neo aircraft for international operations. The initiative from SEAIR International was led by Filipino aviation expert Emil Bishara. At the request of the “Aviation of Russia” website, a partner in Manila contacted Mr. Bishara for comment.

Aviation of Russia: In August, SEAIR International submitted a request to Russian authorities regarding the transfer of S7’s grounded A321neo aircraft. What motivated this initiative?

Emil Bishara: As an aviation analyst, I can say the motivation stems from a shortage of available Airbus 320neo and 321neo aircraft, which are among the most sought-after and proven models in operation.

Aviation of Russia: How did you perceive the response from Russian authorities and S7? Did you expect a more constructive dialogue?

Emil Bishara: The initial response was positive, but certain issues prevented further progress. I was surprised that the Ministry of Transport did not take our proposals seriously. We expected a higher level of professionalism from the officials involved. However, there is always room for a more open and cooperative approach toward the Philippine carrier.

Aviation of Russia: Do you believe a legal and technical resolution for these aircraft is feasible if the proposal were accepted?

Emil Bishara: Legal solutions are always possible, provided all issues are thoroughly discussed and agreed upon. Technical restoration is also feasible at any time, but it depends on who is willing to cover the costs. These aircraft have been grounded for over a year, and returning them to service would require significant investment.

Aviation of Russia: Direct flights from IrAero between Irkutsk, Khabarovsk, and Kalibo* are expected to launch in October. How do you assess the potential of this route?

Emil Bishara: The route has definite potential, provided the right aircraft type is used to ensure operational efficiency and profitability.

Aviation of Russia: In your view, how will Russian charter flights impact Boracay’s tourism infrastructure and demand from new markets?

Emil Bishara: The impact will be positive—Boracay welcomes tourists without restrictions, and I am confident Russian travelers will appreciate the island’s world-class beaches.

Transferring grounded aircraft to foreign operators through constructive legal and technical dialogue could return these assets to service and strengthen ties between Russia and the Philippines. However, high maintenance costs and the complexity of technical support under current sanctions significantly limit S7’s options. The risk of cannibalizing aircraft for spare parts within Russia also warrants caution.

Decisions regarding these Airbus jets require balancing the preservation of strategic assets with rational management under constraints. Ignoring transfer proposals reflects a conservative approach, but in the long term, a more flexible and professional strategy is needed to maintain airworthiness and optimize fleet utilization.

▍Reference

* Starting late October 2025, IrAero will launch direct flights from Irkutsk and Khabarovsk to Boracay (Kalibo Airport, Philippines). The inaugural flight from Irkutsk is scheduled for October 25, with subsequent flights every Saturday. The route includes a technical stop for refueling in Guilin, China. Return flights from Kalibo to Irkutsk will operate the same day.

Flights from Khabarovsk will begin on October 28, operating on Tuesdays with a refueling stop in Ningbo, China, and an additional stop in Blagoveshchensk. The service will use SSJ100 aircraft, with a total travel time of approximately 8 hours, including stops.