Boeing reports $280 million loss on delayed Air Force One project as Kelly Ortberg commits more resources to 2028 delivery.
Boeing reported a $280 million loss on its government contract to deliver two new Air Force One aircraft during the second quarter. The administration announced that the project is now on track for its first delivery in 2028, four years behind the original schedule. This delay is a result of the complex engineering requirements and production costs that Boeing must absorb under a fixed-price contract. CEO Kelly Ortberg stated that the company is adding significant resources to the program to ensure timely delivery. While the project has incurred over $3 billion in cost overruns, Boeing's overall second-quarter net loss was $428 million. Despite these losses, commercial aircraft deliveries rose 14% year-over-year. President Trump has shown a personal interest in the new jets, having previously accepted a Qatari-donated 747 to serve as a temporary Air Force One. However, Trump said the Qatari jet would undergo further security upgrades to meet the standards of the future aircraft.