The new Air Force One just got a big update - and price tag - CNN

What the report says

CNN reported that Boeing is committing more resources to the long-delayed replacement Air Force One program, with the first of two modified 747-8 presidential aircraft now targeted for delivery in 2028. In an internal email cited by CNN, Boeing CEO Kelly Ortberg told employees the company is adding production and certification resources to the project.

The added work generated another $280 million in charges in Boeing’s most recent quarter, according to the company’s financial statement as reported by CNN. Total overruns on the program have now exceeded $3.1 billion, which Boeing is responsible for under the contract structure. The original 2018 agreement, negotiated during Donald Trump’s first term, capped taxpayer costs at $3.9 billion; CNN said later modifications raised the government price to about $4.5 billion for spare parts and other items.

CNN said Boeing has attributed the cost growth to factors including design changes involving wiring and structural requirements, delays, supplier performance problems and pandemic-era engineering inefficiencies. The existing presidential aircraft, first used in 1990 under President George H.W. Bush, were deemed in need of replacement in 2015 because of rising maintenance and operating costs.

The Air Force One overruns come as Boeing continues to face broader financial pressure. CNN noted the company reported a $428 million second-quarter loss, following a first-quarter loss, and has also dealt with fallout from the 737 Max crashes and a 2024 door-plug blowout. The delays matter because Air Force One aircraft require extensive communications, defense and security systems beyond those on standard commercial jets.