Boeing disclosed Tuesday that it has absorbed yet another major financial loss on the long-delayed Air Force One replacement program, with total cost overruns now exceeding $3 billion as the company struggles to deliver two new presidential aircraft.

During its quarterly earnings call, the aerospace giant revealed it had recorded an additional $280 million charge tied to the project, pushing the program’s total losses beyond the $3 billion mark.

“While the charge is disappointing, we recognize how critical schedule performance is to our customer and we are investing accordingly to maintain our commitment to deliver the airplane in 2028,” Boeing CEO Kelly Ortberg said on the call.

Ortberg said the latest financial setback stems from Boeing’s decision to devote substantially more personnel and resources to constructing and testing the two specially modified Boeing 747 aircraft. According to the CEO, the added investment is intended to “help mitigate potential risk during certification and flight test.”

Under the terms of the $3.9 billion agreement President Trump negotiated with Boeing in 2018, the company—not the federal government—is responsible for covering any expenses that exceed the contract price.

By 2024, Boeing had already reported approximately $2.8 billion in cost overruns on the Air Force One program, according to Aviation Week.

The company originally pledged to deliver the first aircraft by December 2024, but the Government Accountability Office reported earlier this month that Boeing is now “almost 3 years behind its current baseline schedule.”

Boeing now expects the first presidential aircraft to be delivered in mid-2028, with the second scheduled to follow by mid-2029.

The current Air Force One fleet consists of two aging Boeing 747-200 aircraft that have served as presidential transports since the 1990s.

President Trump has also flown aboard the luxury $400 million aircraft donated by Qatar—often referred to as the “palace in the sky”—as the presidential plane. That aircraft, however, was removed from service earlier this month so it could undergo upgrades to strengthen its anti-missile defense systems.

Air Force One aircraft require some of the most advanced communications technology and defensive capabilities in the world to safeguard the president, making the program exceptionally expensive and technically demanding.

Trump has repeatedly criticized Boeing over the years for the ballooning costs and repeated delays surrounding the long-awaited replacement aircraft.

{Matzav.com}