President Elect Trump Urging Cancellation of Boeing Order for Air Force One.

President Elect Trump Is Urging The Cancellation of Boeing Order for Air force One. According to an article by Amy Tennery, distributed by Reuters, budgeted program costs for Air Force One replacement program are $2.87 billion for fiscal years 2015-2021.  This differs from figures reportedly used in a Tweet made by Trump stating costs of $4 billion and Trump further going on to say in another announcement, “…We want Boeing to make a lot of money, but not that much money.” To put some framework around overall profit margins at The Boeing Company, 2015 Consolidated Operating Margins were a healthy 7.7% (per GAAP) per its 2015 Annual Report. Air Force One is listed in the Annual Report’s, “Boeing Defense, Space and Security” section. The section reads, “The chief executive air transport fleet consists of two Boeing VC-25A aircraft that are uniquely modified 747-200s with specialized equipment to accomplish the presidential airlift mission. They entered presidential service in 1990 and have received ongoing support services from Boeing since. In January 2015, the U.S. Air Force announced its intent to issue a sole-source contract award to Boeing to replace the VC-25A through the Presidential Aircraft Recapitalization (PAR) Program. Boeing’s PAR program will bring proven experience in quality and service to provide a fully missionized platform that ensures the safe, comfortable, and reliable transportation of the president of the United States. To help deliver an affordable program, Boeing will be modifying the already FAA-certified Boeing 747-8 aircraft to succeed the VC-25A. That effort was formalized and initiated with a risk reduction contract awarded by the Air Force to Boeing in January 2016.” The Boeing Company highlighted delivery of the 100th 747-8 in its “Operational Highlights” section. The Boeing Company has it’s roots in Washington State since it’s beginning in 1916. Today The Boeing Company employs more than 75,000 people in Washington State. Article By: Sound Accounting & Technology LLC.