The U.S. Air Force has awardedÂ BoeingÂ (NYSE: BA) a potential $3.9 billion contract to design, modify, test, certify and field a pair of presidential aircraft.
USAF will obligateÂ $64 million in fiscal 2018 research and development funds at the time of award, the Defense Department said Tuesday.
This awardÂ formalizes an agreement that President Donald Trump and the Chicago-based companyÂ reached in February.Â
The service branch initiallyÂ announcedÂ in January 2015 theÂ selection of theÂ 747-8 airframe for the nextÂ Air Force One fleet.
Boeing is scheduled to complete work under the sole-source contract by December 2024.