"I do expect to see some cost growth there as we come through [final assembly] and we finish off the wiring and the structures, as well as finishing off with certification," Steve Parker told reporters.
Steve Parker on schedule, testing, and the need for extra spending
Steve Parker, head of Boeing’s defense unit, said the company anticipates additional cost overruns tied to finishing work on the VC-25B presidential airlifters as it moves through final assembly, wiring, structures work and certification. Parker framed the expected cost increases as focused squarely on meeting a delivery target: he said the charges would be "focused on making sure that we hit the 2028 time frame."
Parker also told reporters he declined to comment on the timing of those potential charges because Boeing was in a quiet period ahead of its second-quarter results, scheduled for July 28. He reiterated Boeing’s priority: "Our focus is making sure that we get these aircraft right, safe to operate, [and that] they meet every technical specification," adding "we won’t compromise anything."
VC-25B program status: engineering complete, modifications started, testing planned
According to Parker, Boeing completed all engineering on the VC-25B last year. The company has since begun aircraft modifications and intends to begin testing next year on the first aircraft. The Air Force told Breaking Defense in December that the first aircraft is projected to arrive "in mid-2028."
The program has slipped from an initially anticipated delivery date of 2024. Breaking Defense reports the VC-25B program has been "mired in technical setbacks and workforce challenges" that contributed to those delays, and Boeing has recorded about $2.8 billion in charges to date related to the effort.
Contract terms and cumulative costs: the firm, fixed-price agreement and recent modifications
Breaking Defense notes Boeing is financially responsible for covering all cost overruns under a firm, fixed-price contract agreed to by President Donald Trump in 2018, which set a $3.9 billion contract ceiling for the effort. Despite that ceiling, the Air Force in December awarded a $15.5 million contract modification for communications equipment to be integrated on the presidential airlifters, which the service said brought the "total cumulative value of the deal to just over $4.3 billion."
The Air Force spokesperson told Breaking Defense the new communications work "would be accomplished 'within the current program schedule,'" reinforcing the service’s expectation that the schedule remains aligned with the mid-2028 arrival projection.
VC-25B Bridge aircraft, Boeing's role, and Secret Service cautions
Because of the VC-25B delays, the report states, President Donald Trump accepted a Boeing 747 from the Qatari royal family to modify as a stopgap presidential transport — referred to in reporting as the VC-25B Bridge aircraft — which was delivered in June. Parker acknowledged Boeing provided "engineering support" on that bridge plane, and said L3Harris performed the modifications; he declined to provide further details, including how the bridge plane differs from the VC-25B Boeing is building.
The New York Times, cited in the Breaking Defense story, reported that the Secret Service urged President Trump to use the legacy VC-25A instead of the Qatari-donated plane to leave Turkey in July, with people familiar with the plane telling the Times the donated jet "does not have as robust security capabilities."
What this means for the Air Force, Boeing, and the Secret Service
- For the Air Force: the service has publicly tied schedule expectations to a mid-2028 arrival and has authorized targeted contract modifications — such as the $15.5 million communications equipment order — that it says will be completed "within the current program schedule."
- For Boeing: the company is on the hook for overruns under the firm, fixed-price deal and has already taken roughly $2.8 billion in charges; leadership has signaled additional cost growth is likely as work progresses through assembly and certification to meet the 2028 target.
- For the Secret Service: the agency’s reported preference for the legacy VC-25A on at least one mission highlights operational and security considerations tied to interim airlift solutions; reporting cited in Breaking Defense says those concerns motivated an advisory against using the donated jet for a July trip to Turkey.
Two concrete near-term steps stand out in the record: Boeing will report second-quarter results on July 28, during which it may further address program accounting, and the company plans to begin testing the first modified VC-25B next year. Between the already-recorded $2.8 billion in charges, the recent $15.5 million contract modification, and Parker’s expectation of further cost growth to secure a 2028 delivery, the program’s financial and schedule arc will remain a close watch for the Air Force, Boeing and the agencies responsible for presidential transport.
