A presidential tweet can have some serious corporate repercussions: In subsequent trading, shares in Lockheed Martin, the company that produces the aircraft, dipped more than 4%, and its market value plunged by $4 billion, according to CNBC. To put that in perspective, it’s 1/100th the estimated cost of the weapons program itself, which some believe could reach $400 billion.
Lockheed isn’t the only one. Last week, Trump called out Boeing as well.
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!
Boeing secured a contract in January 2016 to start work on the 747 jets meant to replace the 25-year-old Air Force One planes, which will be phased in early next decade. And although its stock price dipped by 1% after the tweet, it has since recovered.
But companies across the country are feeling the sting of Trump’s Twitter attacks. Northrop Grumman is only a component producer on the F-35, and its stocks hit a one-month low as a result of the tweet. While these companies have more than enough financial capital to withstand such attacks, other smaller contractors may not be so resilient.
Hopefully these companies fare better than the F-35 in a thunderstorm. Around the same time the president-elect was firing off his tweet, a pair of the stealth aircraft that were scheduled for delivery to Israel — the first installment of 50 planes that have been promised — were grounded for several hours in Italy due to bad weather.
WASHINGTON (Reuters) - The U.S. military on Sunday accused a Venezuelan fighter aircraft of "aggressively" shadowing a U.S. Navy EP-3 Aries II plane over international airspace, in yet another sign of the increasing hostility between the two nations.
The encounter between the U.S. and Venezuelan planes occurred on Friday, the same day that the Trump administration announced it was sanctioning four top officials in Venezuela's military counterintelligence agency.
In this March 12, 2016, file photo, Marines of the U.S., left, and South Korea, wearing blue headbands on their helmets, take positions after landing on a beach during the joint military combined amphibious exercise, called Ssangyong, part of the Key Resolve and Foal Eagle military exercises, in Pohang, South Korea. (Associated Press/Yonhap/Kim Jun-bum)
Joint U.S.-South Korean military exercises scheduled for next month are going ahead, a top Seoul official said Saturday, despite a threat by North Korea to boycott working-level talks with Washington and possibly restart nuclear and longer-range missile tests.
(Reuters) - A former National Security Agency contractor was sentenced in Maryland to nine years in prison on Friday for stealing huge amounts of classified material from U.S. intelligence agencies over two decades though officials never found proof he shared it with anyone.