Steven S. Fendley - 03 Jan 2022 Form 4 Insider Report for KRATOS DEFENSE & SECURITY SOLUTIONS, INC. (KTOS)

Role: President, US Division
Signature: Steven S. Fendley, by Eva Yee, Attorney-In-Fact
Issuer symbol: KTOS
Transactions as of: 03 Jan 2022
Net transactions value: -$163,234
Form type: 4
Filing time: 05 Jan 2022, 18:41:29 UTC
Previous filing: 29 Dec 2021
Next filing: 07 Jan 2022
SEC: View on sec.gov

Transactions Table

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Ownership	Footnotes
transaction	KTOS	Common Stock	Options Exercise	$0	+10,000	+3.5%	$0.000000	295,883	03 Jan 2022	Direct	F3
transaction	KTOS	Common Stock	Tax liability	$84,652	-4,308	-1.5%	$19.65	291,575	03 Jan 2022	Direct	F6
transaction	KTOS	Common Stock	Options Exercise	$0	+10,000	+3.4%	$0.000000	301,575	04 Jan 2022	Direct	F4
transaction	KTOS	Common Stock	Tax liability	$78,581	-3,933	-1.3%	$19.98	297,642	04 Jan 2022	Direct	F6
transaction	KTOS	Common Stock	Award	$0	+35,275	+12%	$0.000000	332,917	04 Jan 2022	Direct	F5

Derivative Securities (e.g., puts, calls, warrants, options, convertible securities)

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Underlying Class	Amount	Exercise Price	Ownership	Footnotes
transaction	KTOS	Restricted Stock Units	Award	$0	+50,000		$0.000000	50,000	03 Jan 2022	Common Stock	50,000		Direct	F1, F2
transaction	KTOS	Restricted Stock Units	Options Exercise	$0	-10,000	-25%	$0.000000	30,000	03 Jan 2022	Common Stock	10,000		Direct	F1, F3
transaction	KTOS	Restricted Stock Units	Options Exercise	$0	-10,000	-20%	$0.000000	40,000	04 Jan 2022	Common Stock	10,000		Direct	F1, F4

* An asterisk sign (*) next to the price indicates that the price is likely invalid.

Explanation of Responses:

Id	Content
F1	Each Restricted Stock Unit (RSU) represents a contingent right to receive one share of Issuer's common stock.
F2	RSUs vest ratably on each of the first five anniversaries of the date of grant, unless earlier vested or terminated pursuant to the terms of the RSU agreement.
F3	RSUs were granted and previously reported on a Form 4 filed January 6, 2020, where 50,000 RSUs vest ratably on each of the first five anniversaries of the January 3, 2020 date of grant.
F4	RSUs were granted and previously reported on a Form 4 filed January 5, 2021 where 50,000 RSUs vest ratably on each of the first five anniversaries of the January 4, 2021 date of grant.
F5	Shares acquired pursuant to the settlement of a Performance Restricted Stock Unit award granted on January 4, 2019.
F6	Shares withheld in a net transaction to satisfy the minimum tax liability, in accordance with Issuer's trading policies, in connection with shares vested as reported in this Form 4.