SYS Sys Technologies, Inc.

SYS Technologies, Inc. (�SYS�) (AMEX:SYS), a leading provider of information connectivity solutions that enable situational awareness and real-time collaboration, announced today that they have been awarded a five-year (one base year, four option years) prime contract valued at approximately $29.7 million if all options are exercised to provide technical support services for Space and Naval Warfare Systems Center Charleston (SSC Charleston). This award was received concurrent with an initial $522,000 task order under this new vehicle. SYS, who recently entered into a merger agreement with Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS), will provide technical support services to SSC Charleston encompassing analysis, design, and assessment for the Human System Integration (HSI), Human Capital Management (HCM), Knowledge Management (KM), and Naval Personnel Integration (NAVPRINT) initiatives. This award gives SYS the opportunity to both continue to support and to help broaden SSC Charleston�s leadership in the development of HSI Enterprise Architecture which governs the Navy�s approach to HSI, and HSI�s role within HCM. Additionally, SYS will provide support for initiatives associated with Manpower, Personnel, Training & Education (MPT&E) for new acquisitions and modernization efforts targeting specific U.S. Navy warfare enterprises. �This award is a credit to our employees whose talents have supported SSC Charleston�s advancement of the Navy�s HSI and Learning and Performance objectives in support of the Naval Enterprise,� said Cliff Cooke, president and Chief Executive Officer of SYS. �We, along with our industry partners, are proud to be given the opportunity to continue to innovate with the Navy in this increasingly important field.� About SYS Technologies SYS (AMEX:SYS), is a leading provider of information connectivity solutions that capture, analyze and present real-time information to its customers in the Department of Defense, Department of Homeland Security, other government agencies and to commercial companies. Using interoperable communications software, sensors, digital video broadcast and surveillance technologies, wireless networks, network management, decision-support tools and Net-centric technologies, SYS technical experts enhance complex decision-making. The company also provides solution lifecycle support with program, financial, test and logistical services and training. Founded in 1966, SYS is headquartered in San Diego and has principal offices in California and Virginia. For additional information, visit www.systechnologies.com. About Kratos Defense & Security Solutions Kratos Defense & Security Solutions, Inc. (Nasdaq: KTOS) provides mission critical engineering, IT services and war fighter solutions for the U.S. federal government and for state and local agencies. Principal services include C5ISR, weapon systems lifecycle support, military weapon range and technical services, network engineering services, advanced IT services, security and surveillance systems, and critical infrastructure design and integration. The Company is headquartered in San Diego, California, with resources throughout the U.S. and in key strategic military locations. News and information are available at www.KratosDefense.com. Notice Regarding Forward-Looking Statements This news release contains certain forward-looking statements including, without limitation, expressed or implied statements concerning the Company�s expectations regarding the timing of closing of the acquisition, anticipated benefits to be realized from the acquisition, future financial performance and cash flows and market developments that involve risks and uncertainties. Such statements are only predictions, and the Company�s actual results may differ materially. Factors that may cause the Company�s results to differ include, but are not limited to: risks that the closing will be delayed or that the conditions to closing will not be satisfied; risks that the integration will prove more costly, take more time, or be more distracting than currently anticipated; risks that the transaction will cause disruption of the Company�s operations and distraction of its management; risks of adverse regulatory action or litigation; risks associated with debt leverage; risks that changes or cutbacks in spending by the U.S. Department of Defense may occur, which could cause delays or cancellations of key government contracts; failure to successfully consummate acquisitions or integrate acquired operations and competition in the marketplace which could reduce revenues and profit margins. The Company undertakes no obligation to update any forward-looking statements. These and other risk factors are more fully discussed in the Company�s Securities and Exchange Commission filings. Additional Information In connection with the proposed acquisition of SYS by Kratos Defense & Security Solutions, Inc. (�Kratos�), Kratos intends to file with the U.S. Securities and Exchange Commission (the �SEC�) a registration statement on Form S-4, containing a joint proxy statement/prospectus and other relevant materials. INVESTORS AND SECURITY HOLDERS OF KRATOS AND SYS ARE URGED TO READ THE JOINT PROXY STATEMENT/PROSPECTUS WHEN IT BECOMES AVAILABLE BECAUSE IT WILL CONTAIN IMPORTANT INFORMATION ABOUT KRATOS, SYS AND THE ACQUISITION. The joint proxy statement/prospectus and other relevant materials (when they become available), and any other documents filed by Kratos or SYS with the SEC, may be obtained free of charge at the SEC�s web site at www.sec.gov. In addition, investors and security holders may obtain free copies of the documents filed with the SEC by Kratos by directing a request to: Kratos Defense & Security Solutions, Inc., 4810 Eastgate Mall, San Diego, CA 92121, Attn: Investor Relations, or by going to Kratos�s corporate website at www.kratosdefense.com. Investors and security holders may obtain free copies of the documents filed with the SEC by SYS by contacting SYS Technologies, Inc., 5050 Murphy Canyon Road, Suite 200, San Diego, CA 92123, Attn: Investor Relations, or by going to SYS� corporate website at www.systechnologies.com. Kratos, SYS and their respective executive officers and directors may be deemed to be participants in the solicitation of proxies from the stockholders of Kratos and SYS in favor of the acquisition. Information about the executive officers and directors of Kratos is set forth in the proxy statement for Kratos�s 2007 Annual Meeting of Stockholders, which was filed with the SEC on October 10, 2007. Information about the executive officers and directors of SYS and their ownership of SYS common stock is set forth in the proxy statement for SYS�s 2007 Annual Meeting of Stockholders, which was filed with the SEC on October 29, 2007. Investors and security holders may obtain more detailed information regarding the direct and indirect interests of Kratos, SYS and their respective executive officers and directors in the acquisition by reading the joint proxy statement/prospectus regarding the acquisition when it becomes available.