Kratos Defense & Security Solutions has secured a contract, valued at $59.33m, from the US Naval Air Systems Command (NAVAIR) to produce an additional 70 BQM-177A Subsonic Aerial Target (SSAT) aircraft.  

This contract, which has been secured through the exercise of the full rate production (FRP) Lot 6 option, follows a series of successful awards for the company. 

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In 2021, Kratos Unmanned Aerial Systems (KUAS), a division of Kratos Defense & Security Solutions, was awarded a sole-source contract worth $50m for the acquisition of 65 BQM-177A SSATs.  

The company secured a $49m FRP contract for Lot 4 of the BQM-177A SSAT in 2023, which included the procurement of 55 aircraft, mission kits, flight consumables, and technical data. 

2024 saw Kratos win a contract for Lot 5 of the BQM-177A SSAT, which involved the production and delivery of another 70 units.  

The cumulative value of FRP Lots 4 through 6, including the base award and the exercised option for Lot 5, now stands at $177.7m.  

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KUAS president Steve Fendley said: “Since the first Full Rate Production contract award in October 2020, the world has undergone impactful economic and political shifts creating significant production challenges across our industry and increased need for development, test, and training associated with our country’s current and upcoming weapons systems.  

“On behalf of all the dedicated men and women at Kratos, we will collectively continue to do our utmost to support our warfighters with this high-fidelity threat surrogate.” 

Should the option for Lot 7 be exercised at the maximum production quantity, the total contract value could reach $227.64m, the company notes. 

Most of the work stipulated in this contract will be carried out at Kratos facilities located in Sacramento, California, and Fort Walton Beach, Florida.  

The BQM-177A replicates subsonic anti-ship cruise missile (ASCM) threats, aiding in the training of fleet personnel and the testing of various US Department of Defense and international weapon systems. 

Designed to support a range of mission requirements, the BQM-177A can carry various internal and external payloads.  

These include scoring systems, Identification Friend-or-Foe, passive and active RF augmentation, infrared augmentation, electronic countermeasures, chaff and flare dispensing systems, and tow targets. 

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