Kratos Defense & Security Solutions

Kratos Defense & Security Solutions (Kratos) is a developer of afffordableaffordable technology systems, platforms, and products for national security and communications. This includes a focus inon areas whichthat offer force multiplier effects, such as unmanneduncrewed systems, satellite communications, C5ISR, warfighter training, and combat systems. The company also engages in the research and development of new systems and technologies, and generates a majority of its revenue from theirits government and defense solutions segments. The company is based in San Diego and is listed on the NASDAQ exchange under the KTOS ticker symbol.

Kratos was founded originally by the Tayebi family as Wireless Facilities Incorporated (WFI), with a focus on building and supporting telecommunications infrastructure and networks. In 2004, the company's board of directordirectors refocused the company on providing professional services to the United States government, with a specific focus on providing services and solutions to the U.S. Department of Defense. In 2007, WFI was officially renamed to Kratos Defense & Security Solutions to emphasize the new focus. This came in part after several small acquisitions to help Kratos refocus on the government and defense services sector, and re-organizedit reorganized into four divisions:

Kratos would, through internally expanded capabilities, and through various strategic acquisitions, expand the divisions of the company, and include a greater focus on defense, space, and aerospace applications and technology systems.

Based on theirits new focus on defense and government solutions, Kratos would engageengaged in several key mergers and acquisitions. One of the largest of these was the 2011 merger with Integral Systems, which provided management, delivery, and distribution of data and information from space and terrestrial-based platforms for government, defense, and commercial customers, allowing Kratos to expand theirits capabilities.

In the same year, 2011, Kratos acquired cybersecurity solutions developer SecureInfo. As per the acquisition, Kratos was able to bolster the company's cybersecurity product through the integration of SecureInfo's product into the then-named NeuralStar family of situational awareness, cybersecurity, and newtorknetwork operations management solutions.

In 2019, Kratos acquired turbine engine developer Florida Turbine Technologies (FTT). FTT was a developer of small-sized, affordable turbofan and turbojet engines, and the acquisition was expected to enable Kratos to expand theirits business divisions into turbine technologies. In 2020, Kratos would expandexpanded theirits turbine enginesengine technology with the acquisition of Technical Directions, Inc., which was a developer of small turbojet engines used in various weapon platforms.

In 2020, Kratos also expanded the company's capabilities through the acquisition of 5-D Systems. 5-D Systems had been engaged in the design, development, integration, testing, modification, and support of unmanneduncrewed, mannedcrewed, and optionally piloted vehicles and aviation systems for the defense and aerospace industry. The acquisition absorbed 5-D systems into Kratos Unmanned Systems Division and further expanded that previous division with the engineering capabilities from 5-D systems.

In 2022, Kratos acquired the Engineeringengineering Divisiondivision of Southern Research. This division of Southern Research had been engaged in the development, modeling, and deployment of advanced materials for extreme environments, including hypersonic, space, missile, missile defense, strategic deterrence, propulsion systems, and energy applications. The division also had further specialtyspecialization in Intelligence Surveillance and Reconnaissance (ISR) sensor development, electromechanical systems design and integration, materials engineering, artificial intelligence, and machine learning for ISR applications. The acquisition also enabled Kratos to establish Kratos SRE, a new business unit in the Kratos' Defense and Rocket Support Services Division.

Kratos''s divisions work to address the capabilities of the company and theirits national clients. They are organized around technology challenges considered to be of critical importance, and offer a variety of products, platforms, and services.

Kratos''s Unmanned Systems Division (KUSD) is generally comprised of two smaller business units: Kratos Unmanned Aerial Systems (Kratos UAS) and Kratos Unmanned Control Systems. This division works to meet the needs of the U.S. Department of Defense and friendly nations through the provision of aerial target systems and advanced unmanneduncrewed tactical aerial platforms. Further, the Kratos UAS business unit works to provide turn-keyturnkey aerial target services. The Kratos Unmanned Control Systems delivers unmanneduncrewed vehicle technology, such as Commandcommand and Controlcontrol systems, and vehicle managmeentmanagement systems for air, land, and sea effectiveness.

The Kratos Space, Training, and Cybersecurity division specializes, (as the division's name suggests,) in satellite communications, cybersecurity, and training to help clients achieve high levels of systems performance. The division provides complete satellite and terrestrial ground segment solutions for satellites, signals, and networks; is capable of blending immeriveimmersive technologies, simulation systems, and instruction design and curriculum capabilities for warfighter readiness; and addresses cybersecurity challenges, including cloud security, continuous monitoring, IT security, and risk management.

Kratos offers a mixed reality (MR) reality-based-based training technology that blends the physical world with the digital world. This incporporatesincorporates various technologies to offer higher fidelity training in a more immersive-cost-effectiveimmersive, cost-effective environment, thatand helps optimize individuals for multi-domain roles and colelctivecollective performance in complex operating environments. The platform is developed using various standards for orchestration and pre-integration to increase its usefulness, such as for the simulation for wargaming and small squad tactics learinglearning. The platform offers simulations for various platforms in air, ground, sea, and space.

Kratos is a provider of cybersecurity services, including compliance and certification. The compliance and certification includes experience with government and commercial standards and compliance framework requirements. The compliance experience includes CMMC (C3PAO), Payment Card Industry, Federal Information Security Management/Modernization Act, and the National Institute of Standards and Technology (NIST) Risk Management Framework (RMF).

Kratos provides solutions for C5ISR capabilities, engineering,a ndand operational requirements, and military weapon systems. In theThe Defense and Rocket Support Services, thisdivision includes offering rocket program services, target operations support, logistics and engineering support, technology initiatives, and advanced weapon system research and engineering. The capabilities of the division include advanced concept demonstration and testtesting; aerosciences test and evaluation support and analysis; engineering, design, and analysis; entepriseenterprise services and data center support; acquisition and program management; sub-orbital vehicles and targets; and research sounding rockets.

Kratos''s Microwave Electronics Division offers engineering innovation, design, and production to meet client requirements and mission-critical needs. The division's capabilities include providing microwave solutions, microwave subassemblies, incorporating RF/microwave solutions with advanced digital processing, utilizing system-on-a-chip (SoC) processing. Further, the division offers several microwave products, including custom products for customer specifications, all designed for various platforms, including missiles, military and commercial aircraft, radar, unmanned aerial vehicles (UAVs), ships, and submarines.

Kratos Turbine Technologies (KTT) is focused on the development and production of small, affordable, high-performance turbine engines for cruise missiles and unmanneduncrewed aerial systems. This includes providing turbomachinery and propulsion relatedpropulsion-related solutions across applications, and offering engineering services, testing services, and material solutions for military and commercial engines, space propulsion systems, and industrial power-producing applications.

Kratos''s C5ISR Systems Division provides solutions to support C5ISR applications, critical missile defense and radar systems, unmanneduncrewed vehicle and space platforms, shipboard systems, and other strategic ground support equipment programs for national defense. The division provides packaged and integration electronics systems and other sensitive C5ISR equipment. Kratos''s C5ISR division also offers specialty in Electromagnetic Interference (EMI) shielding for protection from various levels of pulses.

Kratos Defense & Security Solutions (Kratos) is a developer of afffordable technology systems, platforms, and products for national security and communications. This includes a focus in areas which offer force multiplier effects such as unmanned systems, satellite communications, C5ISR, warfighter training, and combat systems. The company also engages in the research and development of new systems and technologies, and generates a majority of its revenue from their government and defense solutions segments. The company is based in San Diego and is listed on the NASDAQ exchange under the KTOS ticker symbol.

Kratos was founded originally by the Tayebi family as Wireless Facilities Incorporated (WFI), with a focus on building and supporting telecommunications infrastructure and networks. In 2004, the company's board of director refocused the company on providing professional services to the United States government, with a specific focus on providing services and solutions to the U.S. Department of Defense. In 2007, WFI was officially renamed to Kratos Defense & Security Solutions to emphasize the new focus. This came in part after several small acquisitions to help Kratos refocus on the government and defense services sector, and re-organized into four divisions:

• Technology and Training Solutions
• Defense and Engineering Solutions
• Weapon Systems Solutions
• Public Safety and Security

Kratos would, through internally expanded capabilities, and through various strategic acquisitions, expand the divisions of the company, and include a greater focus on defense, space, and aerospace applications and technology systems.

Based on their new focus on defense and government solutions, Kratos would engage in several key mergers and acquisitions. One of the largest of these was the 2011 merger with Integral Systems, which provided management, delivery, and distribution of data and information from space and terrestrial-based platforms for government, defense, and commercial customers, allowing Kratos to expand their capabilities.

In the same year, 2011, Kratos acquired cybersecurity solutions developer SecureInfo. As per the acquisition, Kratos was able to bolster the company's cybersecurity product through the integration of SecureInfo's product into the then-named NeuralStar family of situational awareness, cybersecurity, and newtork operations management solutions.

In 2019, Kratos acquired turbine engine developer Florida Turbine Technologies (FTT). FTT was a developer of small-sized, affordable turbofan and turbojet engines, and the acquisition was expected to enable Kratos to expand their business divisions into turbine technologies. In 2020, Kratos would expand their turbine engines technology with the acquisition of Technical Directions, Inc., which was a developer of small turbojet engines used in various weapon platforms.

In 2020, Kratos also expanded the company's capabilities through the acquisition of 5-D Systems. 5-D Systems had been engaged in the design, development, integration, testing, modification, and support of unmanned, manned, and optionally piloted vehicles and aviation systems for the defense and aerospace industry. The acquisition absorbed 5-D systems into Kratos Unmanned Systems Division and further expanded that previous division with the engineering capabilities from 5-D systems.

In 2022, Kratos acquired the Engineering Division of Southern Research. This division of Southern Research had been engaged in the development, modeling, and deployment of advanced materials for extreme environments, including hypersonic, space, missile, missile defense, strategic deterrence, propulsion systems, and energy applications. The division had further specialty in Intelligence Surveillance and Reconnaissance (ISR) sensor development, electromechanical systems design and integration, materials engineering, artificial intelligence, and machine learning for ISR applications. The acquisition also enabled Kratos to establish Kratos SRE, a new business unit in the Kratos' Defense and Rocket Support Services Division.

Kratos' divisions work to address the capabilities of the company and their national clients. They are organized around technology challenges considered to be of critical importance, and offer a variety of products, platforms, and services.

Kratos' Unmanned Systems Division (KUSD) is generally comprised of two smaller business units: Kratos Unmanned Aerial Systems (Kratos UAS) and Kratos Unmanned Control Systems. This division works to meet the needs of the U.S. Department of Defense and friendly nations through the provision of aerial target systems and advanced unmanned tactical aerial platforms. Further, the Kratos UAS business unit works to provide turn-key aerial target services. The Kratos Unmanned Control Systems delivers unmanned vehicle technology, such as Command and Control systems, and vehicle managmeent systems for air, land, and sea effectiveness.

The Kratos Space, Training, and Cybersecurity division specializes, as the division's name suggests, in satellite communications, cybersecurity, and training to help clients achieve high levels of systems performance. The division provides complete satellite and terrestrial ground segment solutions for satellites, signals, and networks; is capable of blending immerive technologies, simulation systems, and instruction design and curriculum capabilities for warfighter readiness; and addresses cybersecurity challenges including cloud security, continuous monitoring, IT security, and risk management.

Kratos offers a mixed reality (MR) reality-based training technology that blends the physical world with the digital world. This incporporates various technologies to offer higher fidelity training in a more immersive-cost-effective environment, that helps optimize individuals for multi-domain roles and colelctive performance in complex operating environments. The platform is developed using various standards for orchestration and pre-integration to increase its usefulness, such as for the simulation for wargaming and small squad tactics learing. The platform offers simulations for various platforms in air, ground, sea, and space.

Kratos is a provider of cybersecurity services including compliance and certification. The compliance and certification includes experience with government and commercial standards and compliance framework requirements. The compliance experience includes CMMC (C3PAO), Payment Card Industry, Federal Information Security Management/Modernization Act, and the National Institute of Standards and Technology (NIST) Risk Management Framework (RMF).

Kratos provides solutions for C5ISR capabilities, engineering,a nd operational requirements and military weapon systems. In the Defense and Rocket Support Services, this includes offering rocket program services, target operations support, logistics and engineering support, technology initiatives, and advanced weapon system research and engineering. The capabilities of the division include advanced concept demonstration and test; aerosciences test and evaluation support and analysis; engineering, design, and analysis; enteprise services and data center support; acquisition and program management; sub-orbital vehicles and targets; and research sounding rockets.

Kratos' Microwave Electronics Division offers engineering innovation, design, and production to meet client requirements and mission-critical needs. The division's capabilities include providing microwave solutions, microwave subassemblies, incorporating RF/microwave solutions with advanced digital processing, utilizing system-on-a-chip (SoC) processing. Further, the division offers several microwave products, including custom products for customer specifications, all designed for various platforms, including missiles, military and commercial aircraft, radar, unmanned aerial vehicles (UAVs), ships, and submarines.

Kratos Turbine Technologies (KTT) is focused on the development and production of small, affordable, high-performance turbine engines for cruise missiles and unmanned aerial systems. This includes providing turbomachinery and propulsion related solutions across applications, and offering engineering services, testing services, and material solutions for military and commercial engines, space propulsion systems, and industrial power-producing applications.

Kratos' C5ISR Systems Division provides solutions to support C5ISR applications, critical missile defense and radar systems, unmanned vehicle and space platforms, shipboard systems, and other strategic ground support equipment programs for national defense. The division provides packaged and integration electronics systems and other sensitive C5ISR equipment. Kratos' C5ISR division also offers specialty in Electromagnetic Interference (EMI) shielding for protection from various levels of pulses.