Boeing’s CEO said on Wednesday that the manufacturer should not have approved the deal proposed by former President Trump to build two new Air Force One aircraft.
News leadership: Air Force One — I’m going to call a very unique moment, a very unique negotiation, a very unique set of risks that Boeing may not have had to take on,” CEO Dave Calhoun said during a quarterly earnings call.
- “But where we are now, we are going to deliver great aircraft and realize the costs associated with that,” he said.
- Calhoun cited $660 million in costs during the first quarter of 2022 related to the Air Force One contract.
The Big Picture: Trump and Boeing in 2018 Negotiating $3.9 billion A fixed-price contract for two new Air Force Ones, known as Air Force One when the president is on board.
- The agreement included two 747-800 aircraft and the cost of their modification, including external ladders, large galleys, and a secure communications suite.
- The deal was negotiated under then-CEO Dennis Muilenburg. Calhoun took over in 2020.
The first Air Force One is scheduled to be ready in 2024, and the second in 2025.
playing condition: Boeing also said on Wednesday that it lost $1.5 billion during the first quarter on total revenue of $14 billion, which is below analysts’ estimates. The New York Times reports.
- The manufacturer also posted a loss of $2.75 per share during the first quarter.