Boeing Stock Plummets After Trump ‘Fires’ Air Force One
Boeing stock goes down
After President-Elect Trump publicly trashed them on Twitter, Boeing’s stock shot down by two dollars a share before markets opened on Tuesday.
Boeing is building a brand new 747 Air Force One for future presidents, but costs are out of control, more than $4 billion. Cancel order!
— Donald J. Trump (@realDonaldTrump) December 6, 2016
Where Trump got his figures is unknown, but Christian Davenport reported that the contract with Boeing is only currently worth $170 million. The government plans on replacing the current Air Force One plane with two new ones for future presidents to use. Boeing won the contract in 2015, and the new planes are expected to be operational and ready to fly in about ten years. The $170 isn’t actually for buying the planes, but for Boeing to determine the capabilities of the planes they plan on producing.
Trump denounces air force one
Trump told a reporter in the lobby of New York’s Trump Tower that the cost “is totally out of control. It’s going to be over $4 billion for the Air Force One program, and I think that’s ridiculous. I think Boeing is doing a little bit of a number. We want Boeing to make a lot of money, but not that much money.”
His campaign spent over $6 million on his own personal aircraft after he announced his candidacy, and called the government funded Air Force One “a step down” from his personal aircraft “in every way.” Once Trump received a Secret Service detail, the agency paid $1.6 million for its agents to travel with him—money that went to TAG Air, a company owned by Trump. Trump’s plane is also a Boeing.
The Air Force said they wouldn’t let Trump keep using his current plane when inaugurated unless it was significantly upgraded. As CNN reported earlier in the month, Trump’s personal plane would need to be upgraded with newer technology to keep a president safe. Missile detection and avoidance systems, electromagnetic shielding, mid-air refueling mechanisms and confidential communications systems are things that make these planes so costly.
Photo by Stephen Brashear/Getty Images