Boeing disclosed Wednesday that it has lost a whopping $1.1 billion in costs related to its deal with the Trump administration to modify two 747 jumbo jets to serve as Air Force One — and CEO Dave Calhoun admitted the aviation giant “probably” should not have cut the deal in the first place.
Even more losses on the Air Force One contract could be coming in future quarters, Boeing warned in a regulatory filing.
Air Force One is the official designation for any plane carrying the president of the United States.
“Air Force One I’m just going to call a very unique moment, a very unique negotiation, a very unique set of risks that Boeing probably shouldn’t have taken,” Calhoun said on a call with analysts.
“But we are where we are, and we’re going to deliver great airplanes,” Calhoun said, shortly after Boeing reported a loss for the first quarter of 2022.
“And we’re going to recognize the costs associated with it.”
Boeing on Wednesday disclosed a net loss of $1.2 billion for the first quarter, with a charge of $660 million associated with delays and higher costs for the Air Force One program.