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Aeroflot signs $5 billion deal to lease Russia-made MS-21 planes

Feb 1 (Reuters) - Russia's Aeroflot has signed a deal to lease 50 of the country's new medium-range passenger planes from state defence conglomerate Rostec on Thursday.

Russia has developed the MS-21 plane, its first post-Soviet domestically built mainline commercial aircraft, in a bid to compete with Airbus and Boeing.

The contract will have no effect on Aeroflot's contracts with Airbus or Boeing, Chief Executive Vitaly Savelyev told Reuters after the signing ceremony in Moscow.

The leasing payments and reserves for maintenance will total more than $5 billion, Aeroflot and Rostec told reporters after the signing.

The deliveries of MS-21-300 planes will begin in the first quarter of 2020 and are set to be complete in 2026, Russia's flagship carrier said.

Aeroflot, which has over 200 aircraft, predominantly operates narrow-body Airbus models.

Savelyev told Reuters last May that he expected domestic aircraft to account for 40 percent of the fleet by 2023. (Reporting by Olga Popova, Gleb Stolyarov and Anna Pruchnicka; editing by Jason Neely)