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Kratos Receives $109M USAF Contract for Unmanned Aerial Target Production

Kratos Defense and Security Solutions (Nasdaq: KTOS) has landed a potential three-year, $109 million contract to build unmanned aerial target systems for the U.S. Air Force‘s weapons testing and evaluation efforts.

The company said Thursday it will provide BQM-167A drone production lots 14 to 16 along with logistics support to the military service.

The sole-source contract has one base year and two option years.

USAF will initially obligate $27 million for the procurement of 30 target drones under the 14th batch.

The service branch uses the BQM-167A to assess the performance of air-to-air and surface-to-air weapon systems in engaging targets.

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