Whoa. . .
Boeing announced a staggering $1.2 billion first-quarter loss moments ago on an earnings call with the CEO:
Boeing has confirmed via its Q1 financial results that delays in its 777X program would cause the first deliveries to begin in 2025. Boeing reported a US$1.2bn first-quarter loss, citing costs on its Russia business and Air Force One. #Boeing777X #Delayshttps://t.co/UWRHR0DkVx pic.twitter.com/JJXFQMTI3a
— Airways Magazine (@airwaysmagazine) April 27, 2022
And $660 million of that was in charges related to the VC-25B program, better known as Air Force One:
Boeing Defense received two charges on two DoD programs, the VC-25B ($660M charge) and T-7 ($367M).
— Lee Hudson (@LeeHudson_) April 27, 2022
Boeing said there were “higher supplier costs, higher costs to finalize technical requirements and schedule delays”:
Boeing attributed the VC-25B charge to “higher supplier costs, higher costs to finalize technical requirements and schedule delays.” https://t.co/DoLwHLL1oP (by @ValerieInsinna) #AirForceOne pic.twitter.com/rIvFBntYyA
— Breaking Defense (@BreakingDefense) April 27, 2022
But because of the way then-President Donald Trump negotiated the deal, Boeing will eat the $660 million loss and not taxpayers.
“Boeing CEO David Calhoun says company executives should not have agreed to former President Trump’s terms for the new Air Force One”:
BREAKING: Boeing CEO David Calhoun says company executives should not have agreed to former President Trump’s terms for the new Air Force One. The company today announced it lost $660M building the two planes
— Marcus Weisgerber (@MarcusReports) April 27, 2022
Boeing, meet “Art of the Deal”:
Air Force One is a very unique negotiation that Boeing probably shouldn't have taken, Boeing CEO Dave Calhoun says.
— Lee Hudson (@LeeHudson_) April 27, 2022
If you recall, Trump called the guy at Boeing who agreed to the deal a “dumb son of a bitch”:
Still thinking about Trump calling some Boeing executive, likely former CEO Dennis Muilenburg, a “dumb son of a bitch” during a rally.
— Valerie Insinna (@ValerieInsinna) June 21, 2020
LOL:
Recounting a conversation with Boeing when he wanted to cancel an order, Trump says he replied to their rep with
"No, you dumb son of a bitch"
How Presidential.#TulsaTrumpRally #TulsaRally
— Rob McDowall (@robmcd85) June 21, 2020
So, will Trump get an apology now?
He refers to an unnamed Boeing exec with whom he discussed Air Force One pricing as a "dumb son-of-a-bitch"
Trump spoke directly w Muilenburg about AF1 pricing, not underlings
Valerie said it's "likely" Muilenburg. How you can argue with that?
Historic? For Trump, just typical
— Dominic Gates (@dominicgates) June 21, 2020
And thanks, Trump!
“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, but we are where we are, and we're going to deliver great airplanes,” Calhoun said on the company’s quarterly earnings call
— Marcus Weisgerber (@MarcusReports) April 27, 2022
***
Related:
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Journo BUZZKILL: President Trump has no issues with Air Force One stairs after returning to D.C.
Psaki bombs: @PressSec mocks Space Force, compares the question to Air Force One color scheme
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