Boeing Faces $2.8 Billion Overrun on Air Force One Project
WHO:
Forbes - Boeing is the company involved in the Air Force One project.
CNN - President Donald Trump has taken a particular interest in the new Air Force One planes.
WHAT:
Forbes - Boeing's project is years behind schedule, having missed its original 2024 delivery.
CNN - Boeing's cost overruns have now surpassed $3.1 billion.
CNBC - Boeing reported a loss per share of 76 cents adjusted, compared to a loss of 30 cents a share expected by analysts.
CNBC - Boeing's revenue increased 8% in the second quarter to $24.56 billion from a year earlier.
CNBC - Boeing's commercial aircraft deliveries in the second quarter rose 14% from a year earlier to 171 planes from 150 a year earlier.
CNBC - Boeing reported a net loss of $428 million, or 67 cents a share, compared with a net loss last year of $612 million, or 92 cents a share a year earlier.
Forbes - Boeing has incurred a $280 million loss in the second quarter on its Air Force One contract.
Forbes - Boeing has likely lost $2.8 billion on the Air Force One program since signing the government contract in 2018.
CNN - The cost overruns for the Air Force One program have surpassed $3.1 billion.
CNN - The original contract for the Air Force One jets was capped at $3.9 billion but has since grown to around $4.5 billion.
CNN - Boeing's overall second-quarter net loss is $428 million.
WHERE:
CNN - The existing presidential planes have been in service since 1990, first used by the George H. W. Bush administration.
WHEN:
Forbes - The first delivery of the new Air Force One jets is now on track for 2028.
CNN - Boeing's contract for the Air Force One jets was signed in 2018.
WHY:
Forbes - Boeing's then-CEO Dave Calhoun stated the company "probably shouldn’t have taken" the fixed-price contract due to the complexities involved.
CNN - The cost overruns are attributed to engineering design changes, schedule delays, performance issues at a key supplier, and engineering inefficiencies from the pandemic.
HOW:
Forbes - Boeing is adding “significant resources” to deliver the heavily modified 747-8 jets.
Forbes - Boeing is adding "additional production and certification resources" to keep the program on track for a 2028 delivery.
CNN - Boeing has agreed to absorb the cost overruns due to the fixed-price nature of the contract.
(UPDATED July 29, 2026 02:52 UTC)
Boeing is facing significant challenges, as the company is years behind schedule on its project and has missed its original 2024 delivery date, with cost overruns now exceeding $3.1 billion. In the second quarter, Boeing reported a net loss of $428 million, which is an improvement from last year's loss, but still fell short of analysts' expectations with a loss per share of 76 cents adjusted. Despite these setbacks, Boeing's revenue increased by 8% to $24.56 billion, and its commercial aircraft deliveries rose by 14% to 171 planes compared to the previous year, as the company adds significant resources to deliver the heavily modified 747-8 jets.
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(UPDATED July 29, 2026 01:30 UTC)
Boeing is facing significant financial challenges with its Air Force One project, having incurred a $280 million loss in the second quarter alone, contributing to an estimated total loss of $2.8 billion since signing the government contract in 2018. The cost overruns for the program have now exceeded $3.1 billion, pushing the original contract price from $3.9 billion to around $4.5 billion, while the first delivery of the new jets is scheduled for 2028. In response to these issues, Boeing is adding more production and certification resources to keep the program on track and has agreed to absorb the cost overruns due to the fixed-price nature of the contract.