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Feb. 1, 2017 / 8:59 AM / Updated Feb. 2, 2017 at 9:52 AM

Boeing receives $983M contract for aircraft engineering

Boeing's new contract with the U.S. Air Force includes work on the VC-25, or Air Force One, following tension between the company and President Donald Trump over the cost of the plane. U.S. Air Force photo by Senior Airman Elizabeth Slate

Boeing's new contract with the U.S. Air Force includes work on the VC-25, or Air Force One, following tension between the company and President Donald Trump over the cost of the plane. U.S. Air Force photo by Senior Airman Elizabeth Slate

Feb. 1 (UPI) -- Boeing Aerospace has received a $983 million order from the U.S. Air Force to perform engineering services for Air Force One and various other aircraft.

The contract tasks the company with performing services for VC-25, E-4B, C-32A, C-40B/C, E-8C, and NT-43 aircraft. Boeing will also provide analysis and technical instructions needed to overcome maintenance issues.

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Most of the services are for military passenger planes used by high-ranking U.S. government officials. The VC-25, or Air Force One, is built specifically for transporting the president of the United States.

Boeing's contract award follows months of tension between the company and President Donald Trump over the cost of the Air Force One program. Before entering office, the president threatened to cancel the ongoing contract with the aerospace manufacturer in December.

Work will be performed in Oklahoma City, Okla., and is expected to be complete by the end of January 2027.

According to the U.S. Department of Defense, the contract award was the result of a sole-source acquisition. Boeing received $61.8 million in Fiscal 2017 operations and maintenance funds at the time of the award. The Air Force Life Cycle Management Center in Oklahoma is listed as the contracting activity.

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