Trump, Boeing reach ‘informal’ agreement for new Air Force One

President Trump has reached an “informal” agreement with Boeing to produce two new Air Force One planes for $3.9 billion, the White House announced Tuesday. 

“President Trump has reached an informal deal with Boeing on a fixed-price contract for the new Air Force One Program,” White House spokesman Hogan Gidley said in a statement. 

The White House said the contract will save taxpayers $1.4 billion compared to original cost estimates for the new presidential aircraft. 

Fox News first reported the agreement on Tuesday.  

Trump frequently railed against the price tag for a new Air Force One during the presidential campaign, arguing that Boeing was charging the U.S. government too much.

“Costs are out of control,” Trump tweeted in Dec. 2016. “Cancel order!”

One month after taking office, Trump vowed that the “price will come WAY DOWN” once he started negotiating with Boeing. 

“Boeing is proud to build the next generation of Air Force One, providing American presidents with a flying White House at outstanding value to taxpayers,” the company said in a statement. “President Trump negotiated a good deal on behalf of the American people.”

It’s unclear how much savings will result from the negotiations because the agreement is still being finalized. When Trump complained about the cost of the new planes in 2016, he cited a $4 billion cost, close to the figure announced Tuesday.

The plane designated as Air Force One typically comes with a high price tag because it comes equipped with sophisticated defenses, top-of-the-line communications systems and other military specifications.

The current jets, which are modified Boeing 747s, date back to the Reagan administration. 

The U.S. Air Force reached an agreement last summer to purchase two Boeing 747-8s to serve as the next Air Force Ones.