Boeing Has Now Eaten $3B In Air Force One Cost Overruns - TWZ

What the report says

TWZ reported that Boeing has recorded another $280 million charge tied to the U.S. Air Force’s VC-25B program, the effort to convert two 747-8 aircraft into the next fully equipped Air Force One jets. The company said the added loss reflects extra production, certification and testing resources intended to keep the first delivery on a 2028 timeline. With the latest charge, Boeing’s out-of-pocket losses on the fixed-price program now exceed $3 billion, according to figures cited by TWZ and Aviation Week.

The aircraft are intended to replace the aging VC-25A presidential transports. TWZ said the original target was delivery of the first new jet by December 2024, but Boeing now expects the first aircraft in 2028, with the second to follow later. The report cited Government Accountability Office information showing the government’s estimated acquisition cost rose from $6.263 billion to $6.608 billion between December 2018 and August 2025. Boeing CEO Kelly Ortberg said the company and Air Force have also shifted from an FAA certification basis to a military one.

TWZ added that technical and scheduling challenges include airworthiness certification plans, stress corrosion crack repairs, supply chain concerns and post-delivery communications upgrades. The delays have gained additional attention because of a separate “VC-25B Bridge” aircraft, a Qatari-gifted 747-8i converted for interim presidential use by L3Harris.

The report said that bridge aircraft is due to be taken out of service for about a month for upgrades after concerns over defensive and other capabilities. The broader issue matters because Air Force One is a highly specialized national command and presidential transport platform, and delays, cost overruns and interim aircraft questions affect both defense procurement oversight and presidential mobility.