Russia Roils Plane-Backed Bonds by Keeping $10 Billion of Jets

  • Carlyle, Castlelake ABS among those that could get downgraded
  • Prices have fallen, and insurance may not cover losses

Source: Getty Images

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Russia’s decision to block foreign owners from seizing hundreds of planes worth about $10 billion is roiling a market where aircraft leases are bundled into bonds and sold to investors.

European Union sanctions imposed on Russia because of its Ukraine invasion give plane owners until March 28 to retrieve the vehicles. But only a handful have been extracted, and hopes for more are dim.