diff --git a/repos/system_upgrade/common/actors/peseventsscanner/libraries/pes_events_scanner.py b/repos/system_upgrade/common/actors/peseventsscanner/libraries/pes_events_scanner.py
index f9411dfe0e..4f36c75612 100644
--- a/repos/system_upgrade/common/actors/peseventsscanner/libraries/pes_events_scanner.py
+++ b/repos/system_upgrade/common/actors/peseventsscanner/libraries/pes_events_scanner.py
@@ -139,8 +139,9 @@ def compute_pkg_changes_between_consequent_releases(source_installed_pkgs,
         if event.action == Action.PRESENT:
             for pkg in event.in_pkgs:
                 if pkg in seen_pkgs:
+                    # Remove the package with the old repository, add the one with the new one. The Package class has
+                    # a custom __hash__ and __eq__ comparing only name and modulestream - pkg.repository is ignored.
                     if pkg in target_pkgs:
-                        # Remove the package with the old repository, add the one with the new one
                         target_pkgs.remove(pkg)
                     target_pkgs.add(pkg)
         elif event.action == Action.DEPRECATED:
@@ -163,7 +164,10 @@ def compute_pkg_changes_between_consequent_releases(source_installed_pkgs,
                              event.id, event.action, removed_pkgs_str, added_pkgs_str)
 
                 # In pkgs are present, event can be applied
+                # Note: We do a .difference(event.out_packages) followed by an .union(event.out_packages) to overwrite
+                # #     repositories of the packages (Package has overwritten __hash__ and __eq__)
                 target_pkgs = target_pkgs.difference(event.in_pkgs)
+                target_pkgs = target_pkgs.difference(event.out_pkgs)
                 target_pkgs = target_pkgs.union(event.out_pkgs)
 
         pkgs_to_demodularize = pkgs_to_demodularize.difference(event.in_pkgs)
diff --git a/repos/system_upgrade/common/actors/peseventsscanner/tests/test_pes_event_scanner.py b/repos/system_upgrade/common/actors/peseventsscanner/tests/test_pes_event_scanner.py
index 7cdcf82052..80ece77065 100644
--- a/repos/system_upgrade/common/actors/peseventsscanner/tests/test_pes_event_scanner.py
+++ b/repos/system_upgrade/common/actors/peseventsscanner/tests/test_pes_event_scanner.py
@@ -123,6 +123,15 @@ def pkgs_into_tuples(pkgs):
             [(8, 0)],
             {Package('renamed-out', 'rhel8-repo', None)}
         ),
+        (
+            {Package('A', 'rhel7-repo', None), Package('B', 'rhel7-repo', None)},
+            [
+                Event(1, Action.SPLIT, {Package('A', 'rhel7-repo', None)},
+                      {Package('A', 'rhel8-repo', None), Package('B', 'rhel8-repo', None)}, (7, 6), (8, 0), [])
+            ],
+            [(8, 0)],
+            {Package('A', 'rhel8-repo', None), Package('B', 'rhel8-repo', None)}
+        ),
     )
 )
 def test_event_application_fundamentals(monkeypatch, installed_pkgs, events, releases, expected_target_pkgs):