{"id":40134,"date":"2017-08-01T22:08:15","date_gmt":"2017-08-01T22:08:15","guid":{"rendered":"https:\/\/one.sightlinemg.com\/defensenews\/uncategorized\/2017\/08\/01\/boeing-to-turn-undelivered-747s-meant-for-russian-customer-into-new-air-force-ones\/"},"modified":"2026-08-07T23:17:08","modified_gmt":"2026-08-07T23:17:08","slug":"boeing-to-turn-undelivered-747s-meant-for-russian-customer-into-new-air-force-ones","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/defensenews\/air\/2017\/08\/01\/boeing-to-turn-undelivered-747s-meant-for-russian-customer-into-new-air-force-ones\/","title":{"rendered":"Boeing to turn undelivered 747s meant for Russian customer into new Air Force Ones"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">WASHINGTON \u2014 Last year President Donald Trump told the Air Force to shrink the cost of new Air Force Ones aircraft or risk the program getting cancelled. Now Boeing and the service are nearing a deal for the two Boeing 747s that will be transformed into presidential aircraft, but the optics might not be great for Trump.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Sources with knowledge of the deal confirmed to Defense News that the Air Force and Boeing are finalizing a contract for two 747-8s that were originally produced for Russian airline firm Transaero but never delivered to the company. News of the negotiations were initially reported by <a href=\"http:\/\/www.defenseone.com\/business\/2017\/08\/russian-air-force-one-boeing-trump-747\/139872\/\">Defense One<\/a>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cWe\u2019re working through the final stages of coordination to purchase two commercial 747-8 aircraft and expect to award a contract soon,\u201d said Air Force spokeswoman Ann Stefanek, who declined to confirm whether the service would buy the Transaero planes.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Caroline Hutcheson, a Boeing spokeswoman also declined to confirm the specifics of the proposed agreement.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cWe are working hard towards a deal for two 747-8s, and we are really focused on best price and value,\u201d she said.<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/one.sightlinemg.com\/defensenews\/air\/2017\/01\/17\/trump-and-boeing-ceo-look-to-downscale-requirements-on-air-force-one-replacement\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"187\" src=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/air-force-one-getty.jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">Trump and Boeing CEO Look to Downscale Requirements on Air Force One Replacement<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">President-elect Donald Trump met with Boeing CEO Dennis Muilenburg for the second time Tuesday.<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">Trump\u2019s administration has come under intense scrutiny for its alleged ties to Russia, which has spurred a federal probe into potential links between Trump\u2019s campaign and the Russian government\u2019s interference in the 2016 presidential election.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Sources with knowledge of the discussions were eager to put distance between the aircraft and their original Russian buyer, repeatedly stressing that the Transaero jets were never given over to the Russian company or government \u2014 thus affording no opportunity for the aircraft to be tampered with.<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/one.sightlinemg.com\/defensenews\/digital-show-dailies\/air-warfare-symposium\/2017\/03\/02\/air-force-downplays-requirements-changes-to-air-force-one-replacement\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"187\" src=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/air-force-one-getty.jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">Air Force downplays requirements changes to Air Force One replacement<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">The White House and U.S. Air Force are finalizing the requirements for the Presidential Aircraft Recapitalization program.<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">Transaero ordered the aircraft in 2013, but declared bankruptcy in 2015. Boeing, which had already started production on the planes, finished them and kept them in its possession for the entirety of their lifespan, sources said. The two 747-8s are currently housed at Southern California Logistics Airport, near the Mojave Desert.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Officials refused to comment on how much of a discount the Air Force would get by paying for the undelivered planes, citing the unfinished nature of the negotiations and Boeing\u2019s own competitive edge.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Aerospace experts contracted by Defense News acknowledged that it would be difficult to quantify the Air Force\u2019s potential savings because the cost of commercial aircraft fluctuates widely depending on the deal. While the list price of the Boeing 747 is $390 million, the actual price can run for much less \u2014 and the cost of an undelivered, existing jet even lower than that.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Richard Aboulafia, an aerospace analyst with the Teal Group, said it makes sense for the Air Force to buy undelivered aircraft that are already available. However, the planes are \u201cjust a small part\u201d of the overall Air Force One costs, with a much larger chunk of funding needed to modify the commercial airliners with protection for nuclear blasts, defensive systems and a secure communications suite.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cI\u2019m not sure they\u2019d get that much of a discount,\u201d he said. \u201cIf they were going to pay $230 million or so for the basic jet, maybe they\u2019ll get a 10-15% discount, but then have to spend another billion or so outfitting it with the necessary equipment. And it moves the 747 line a few months closer to death.\u201d<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/one.sightlinemg.com\/defensenews\/air\/2017\/04\/28\/trump-trims-air-force-one-cost-saving-estimates-from-billions-to-millions\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"187\" src=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/air-force-one-getty.jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">Trump trims Air Force One cost-saving estimates from billions to millions<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">Is the president trying to lower expectations on the presidential aircraft recapitalization program?<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">Trump has said his involvement in the Presidential Aircraft Recapitalization (PAR) \u2014 the name given to the Air Force\u2019s program of record to buy new Air Force One aircraft \u2014 has saved more than $1 billion, while the White House credited the president with saving \u201cmillions\u201d on the aircraft. In actuality, it is difficult to gauge whether PAR costs have decreased, as the Air Force has never issued an estimated total cost of the program of record.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In May, Lt. Gen. Arnold Bunch, the Air Force\u2019s top uniformed acquisition official, said the program was on track to issue two contract modifications by the end of the fiscal year: one for the two Boeing 747-8 aircraft and one for the preliminary design review.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThen we\u2019re going to work on how we\u2019re going to execute the EMD [engineering, manufacturing and development] phase of the program, and that part is the part we\u2019re having the discussion of [whether to structure a contract as] fixed-price, cost-plus [or] fixed price with cost plus [elements],\u201d he said.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Sources with knowledge of the deal confirmed to Defense News that the Air Force and Boeing are finalizing a contract for two 747-8s that were originally produced for Russian airline firm Transaero but never delivered to the 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By:"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.0 (Yoast SEO v28.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Boeing to turn undelivered 747s meant for Russian customer into new Air Force Ones - Defense News<\/title>\n<meta name=\"description\" content=\"Sources with knowledge of the deal confirmed to Defense News that the Air Force and Boeing are finalizing a contract for two 747-8s that were originally produced for Russian airline firm Transaero but never delivered to the company.\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Boeing to turn undelivered 747s meant for Russian customer into new Air Force Ones\" \/>\n<meta property=\"og:description\" content=\"Sources with knowledge of the deal confirmed to Defense News that the Air Force and Boeing are finalizing a contract for two 747-8s that were originally produced for Russian airline firm Transaero but never delivered to the company.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/one.sightlinemg.com\/defensenews\/air\/2017\/08\/01\/boeing-to-turn-undelivered-747s-meant-for-russian-customer-into-new-air-force-ones\/\" \/>\n<meta property=\"og:site_name\" content=\"Defense News\" \/>\n<meta property=\"article:published_time\" content=\"2017-08-01T22:08:15+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-08-07T23:17:08+00:00\" \/>\n<meta name=\"author\" content=\"Valerie Insinna\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Valerie Insinna\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" 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