Kratos Announces Multi-Million Dollar Situational Awareness and Network Management Contract Award

September 2010

Major Federal Department Will Use Kratos’ NeuralStar to Manage and Protect Its Global Infrastructure Consisting of Tens of Thousands of Network, IT, Encryption/Decryption and Cybersecurity Devices and Elements

SAN DIEGO, Sep 23, 2010 —Kratos Defense & Security Solutions, Inc. (Nasdaq:KTOS), a leading National Security Solutions provider, announced today that a major Department of the U.S. Federal Government with National Security responsibilities has awarded Kratos a multi-million dollar products and services contract that will include network management, situational awareness and cybersecurity capabilities across its Global Infrastructure. Due to customer related and other sensitivities and considerations, the specific Federal Agency which made this contract award and other details are not being disclosed.

Central to the award, the Customer has selected Kratos’ proprietary flagship network and event management product, NeuralStar, for its core infrastructure monitoring and data integration platform. NeuralStar specializes in real-time collection of heterogeneous network, IT, application and cybersecurity event data, integrating this data so users can easily create custom dashboards for enhanced management and situational awareness. In addition, Kratos will provide the Department with consulting services to enrich its IT monitoring practices and implement NeuralStar across its worldwide network.

Among the reasons Kratos was selected is NeuralStar’s ability to scale smoothly in a large, distributed organization. The Customer’s network is a global one consisting of tens of thousands of workstations, servers, routers, switches, encryption/decryption devices and other IT and cybersecurity elements. NeuralStar not only monitors key elements and services across remote offices, it also serves as a "manager-of-managers" collecting and consolidating data from specialized management tools. NeuralStar’s high-availability and redundancy features were also instrumental in the decision which will help the Department’s systems reliability and continuity of Operations.

"This win is another significant endorsement of NeuralStar as an advanced situational awareness and cybersecurity oversight platform for mission critical networks," said Phil Carrai, President of Kratos’ Technologies Division. "The Customer’s mission is at the heart of America’s global security interests where network reliability and security are absolutely essential. We are proud to offer a solution that can contribute to our Customer’s effectiveness."

About Kratos Defense and Security Solutions

Kratos Defense & Security Solutions, Inc. (Nasdaq:KTOS) provides mission critical products, services and solutions for United States National Security. Principal products, services and solution offerings relate to and support C5ISR, weapon systems sustainment, military weapon range operations and technical services, network engineering services, information assurance and cybersecurity solutions, security and surveillance systems, and critical infrastructure security system design and integration. The Company is headquartered in San Diego, California, with resources located throughout the U.S. and at key strategic military locations. News and information are available at www.KratosDefense.com.

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