Kratos Awarded Unmanned Aerial Target Drone Systems Contract with $93.3 M Potential Value

Kratos Defense & Security Solutions, Inc. (Nasdaq:KTOS), a leading National Security Solutions provider, announced today that its Kratos Defense & Rocket Support Services Division (DRSS) has been awarded a prime contract for the Aerial Target Systems 2 (ATS-2), Multiple Award Indefinite Delivery Indefinite Quantity (IDIQ) Contract. This is a combined firm-fixed-price, cost-plus-fixed-fee delivery order contract with a ceiling of $93.3 million, and a 5 year period of performance.

ATS-2 contract tasks will encompass requirements for research, development, test and evaluation (RDT&E), commercial-off-the-shelf (COTS) and non-commercial materials, technical flight, engineering field support, logistical and technical support associated with unmanned aerial target drone system programs managed by the U.S. Army’s Target Management Office (TMO). The TMO is a Division of the Department of the Army’s Program Executive Office for Simulation, Training and Instrumentation (PEO STRI), Project Office for Instrumentation, Targets and Threat Simulators (PM ITTS). This competitive DRSS win is a follow-on contract to Kratos’ previously held Aerial Target Systems IDIQ contract, under which Kratos provides to the U.S. Army certain of the highest performance unmanned aerial target drone systems in the world. DRSS is an industry leader in unmanned aerial systems and support, ballistic missile defense targets, hypersonic systems, and high power directed energy systems.  Work under this contract will be performed at various secure Kratos facilities and at government locations.

Dave Carter, President of the Kratos Defense & Rocket Support Services (KDRSS) Division, said, "This contract award is an important milestone in our commitment to continue providing superior aerial targets, technical, logistic and engineering support to the TMO and warfighter. We are proud to be selected to continue providing Kratos high technology solutions and supporting RDT&E efforts to serve the Army in this capacity. "

Eric DeMarco, President and CEO of Kratos, said, "This competitive prime contract win is a most recent example of Kratos’ industry leading position in the rapid development, demonstration and fielding of high performance, technologically advanced systems at an affordable cost.  We believe, as a result of the investments we have made over the past several years which are now winding down, that Kratos has the right products at an affordable price point to address our customers’ requirements.”