Boeing CEO Regrets Deal With Trump For New Air Force One Jets That Will Cost Company $1 BillionBoeing has lost $660 million developing
two Air Force One 747 jets following a “very unique” 2018 deal with then
President Donald Trump that placed liability for cost changes on the company rather than on taxpayers, CEO Dave Calhoun reportedly told investors.
Calhoun said the company
expects to lose a total of $1.1 billion on the planes, which were originally set to be delivered by 2024 but could take longer.
Calhoun remarked that Boeing “probably should not have taken” the
fixed-price $3.9 billion contract, which was revised to make the company responsible for cost changes after Trump insisted that the
original arrangement was too pricey.
The project’s spiraling expenses were driven by
rising supplier costs, rising technical costs and scheduling difficulties.
Calhoun’s comments came as the company posted a
$1.24 billion loss for the first quarter of 2022.
