U.S. President-elect Donald Trump urges the government to cancel Boeing's new Air Force One plane in a Twitter post, saying it was too expensive. Bobbi Rebell reports.
U.S. President-elect Donald Trump says the government should cancel Boeing's new Air Force One plane. On Monday, he posted a message on Twitter saying "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!" The U.S. Air Force awarded Boeing an initial contract worth $25.8 million to find out how much the final cost would be. Details about the total value of the new contract have not been released, but the Air Force has previously said that it had earmarked $1.65 billion for two replacement jets. Max Wolff of 55 Capital says, even the expected final price tag $4 billion should be put in perspective, given the $4 trillion federal budget. (SOUNDBITE) MAX WOLFF, 55 CAPITAL, MARKET STRATEGIST, (ENGLISH) SAYING: "I think, what we're seeing here is some grand standing, sort of say, 'Hey, look, I can be tough on companies, I do care about some of the sort of hokey, save a couple bucks type of things that are very popular in the country.'" Wolff says Trump's stance won't affect Boeing's bottom line, but it will make big companies, like Boeing, wary of working with the federal government. The company responded to Trump's tweet saying, it's under under contract for $170 million and working to deliver "the best planes for the President at the best value for the American taxpayer." Andrea Shalal has covered the story for Reuters. (SOUNDBITE) ANDREA SHALAL, SENIOR CORRESPONDENT, REUTERS, (ENGLISH) SAYING: "He wants to shake things up in Washington. And questioning large contracts is one way to do that." Shalal add that this is not a new tactic. President Obama took aim at a very similar program, the presidential helicopters, Marine One.