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Boeing Reports Loss on $280 Million Hit to Troubled Air Force One Program
The New York Times • • business
Key Points:
- Boeing reported a $428 million loss in Q2 2026, largely due to a $280 million cost overrun in its Air Force One program, which has faced delays and rising expenses since the fixed-price contract was signed in 2018.
- The delivery of the two presidential planes has been delayed from 2024 to 2028, prompting former President Trump to retrofit a jet gifted by Qatar as a temporary Air Force One, which has led to increased costs and safety concerns.
- Despite the loss, Boeing is making progress with its turnaround, opening a fourth production line for the 737 Max to boost output and reporting positive cash flow amid efforts to reduce its significant debt.
- The Federal Aviation Administration has restored Boeing’s authority to certify 737 Max and 787 aircraft after extensive safety reviews, reflecting regained trust following past crises including the 737 Max grounding and a 2024 in-flight panel door incident.
- Boeing has implemented leadership and cultural changes to address production and safety issues, contributing to improved relations with regulators and ongoing recovery efforts.
