08:22 AM EDT, 09/23/2025 (MT Newswires) -- Kratos Defense & Security Solutions (KTOS) said Tuesday that it signed a five-year agreement to become Elroy Air's exclusive US manufacturing partner for the Chaparral hybrid-electric autonomous vertical takeoff-and-landing cargo drone.

Under the terms of the deal, Kratos will initially produce the Elroy Air's Chaparral drone at its Sacramento, California aircraft production facility and over time, will move towards a high-rate of production at its facilities in Oklahoma City, Kratos said.

The first production of the Chaparral aircraft is planned to occur in 2026, Kratos added.