The agreement between the Russian Federation and Ukraine on the parameters of the division of the Black Sea fleet, the « agreement between the Russian Federation and Ukraine on the status and conditions of the presence of the Black Sea Fleet of the Russian Federation on the territory of Ukraine » and « the agreement between the Government of the Russian Federation and the Ukrainian Government regarding payments related to the division of the fleet the Black Sea and its presence on the territory of Ukraine » were the three treaties[2] signed between Russia and Ukraine on 28 May 1997, in which the two countries established two independent national fleets, armaments and bases between them[3][4] and established conditions for the creation of the Russian Black Sea fleet in Crimea. The only loser will be the Russian state budget, which could have a deficit of 5 to 6% in 2010. The rebate will not affect Gazprom`s financial position, as the reductions will be achieved through the removal of export duties. Under the current lease agreement, Moscow pays Kiev an annual fee of US$98 million for the Sevastopol base, an amount considered too low by all Ukrainian governments since 1997. But in 2010 alone, Russia will exchange $98 million for $2.8 billion (gas rebates) and $4 billion from 2011, which is a serious economic drift. Moreover, the Yanukovych-Medvedev agreement is contrary to current Russian policy in the Commonwealth of Independent States (CIS), i.e. the end of all Russian subsidies and the adaptation of economic relations to those of the market economy. Although NATO has not yet clarified its position on the renewed lease, membership cannot be granted to a country that is home to a non-member military base on its territory. The Sevastopol Agreement closely follows the 2010 Russian military doctrine, which identifies the Atlantic Alliance as a serious threat to its sovereignty and presence in so-called Russian areas of influence, commonly referred to as « foreign-to-foreign ». Thus, the new lease agreement proposes in principle that Ukraine cannot join NATO until the expiry of the lease and the need to conclude a new agreement.

The agreement also assures Russian leaders that no other former Soviet country, with the exception of the Baltics, will gain NATO membership, something Russia has strongly refused since the collapse of the Soviet Union. On 25 November 1995, Russia and Ukraine agreed on the division of the Black Sea fleet, under which Ukraine will receive 150 naval facilities from the fleet. Another agreement failed two months later, when Russian Defense Minister Pavel Grachev halted the division because of a controversy over the location of the Russian fleet.