Leonardo DRS

1 McDaniel Street, West Plains, MO · Manufacturing, Engineering, Warehouse, Office · Integrated Mission Systems · 447,067 · Owned

Good Hope Rd., Menomonee Falls, WI · Manufacturing, Engineering, Warehouse · Integrated Mission Systems · 372,856 · Leased

100 North Babcock Street, Melbourne, FL · Manufacturing, Engineering, Warehouse, Office · Advanced Sensing and Computing · 336,287 · Leased

6060 Highway, High Ridge, MO · Manufacturing, Engineering, Office · Integrated Mission Systems · 183,600 · Owned

4201 Innovation Way, Bridgeton, MO · Manufacturing, Engineering, Warehouse, Office · Integrated Mission Systems · 171,500 · Leased

2014 Bushy Park Road, Goose Creek, SC · Manufacturing, Warehouse, Office · Integrated Mission Systems · 146,158 · Land leased, building owned

7200 Redstone Gateway, Huntsville, AL · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 131,498 · Leased

246 Airport Road, Johnstown, PA · Manufacturing, Engineering, Warehouse, Office · Advanced Sensing and Computing · 129,716 · Leased

401 Flint Drive, Menomonee Falls, WI · Engineering, Office · Integrated Mission Systems · 118,620 · Leased

166 Boulder Drive, Building #2, Fitchburg, MA · Manufacturing, Warehouse · Integrated Mission Systems · 116,420 · Leased

10600 Valley View Street, Cypress, CA · Engineering, Office · Advanced Sensing and Computing · 91,506 · Leased

13532 N Central Expressway, Dallas, TX · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 89,982 · Leased

4910 Executive Court South, Frederick, MD · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 88,146 · Leased

16465 Via Esprillo, San Diego, CA · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 84,277 · Leased

6200 118th Avenue North, Largo, FL · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 75,968 · Owned

21 South Street, Danbury, CT · Manufacturing, Engineering, Warehouse, Office · Integrated Mission Systems · 74,300 · Owned

1200 Sherman Street, Dallas, TX · Engineering, Office · Advanced Sensing and Computing · 73,646 · Leased

645 Anchors Street, Ft. Walton Beach, FL · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 72,761 · Owned

1240 Seesetown Rd., Sidman, PA · Distribution, Warehouse · Advanced Sensing and Computing · 72,450 · Leased

7700 US Highway 1, Titusville, FL · Warehouse · Advanced Sensing and Computing · 63,309 · Leased

640 Lovejoy, Ft. Walton Beach, FL · Engineering, Office · Advanced Sensing and Computing · 60,465 · Owned

2750 Blue Water Road, Eagan, MN · Engineering, Lab, Office · Advanced Sensing and Computing · 48,563 · Leased

13544 N Central Expressway, Dallas, TX · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 48,374 · Leased

2601 Mission Point Blvd, Beavercreek, OH · Engineering, Office · Advanced Sensing and Computing · 47,586 · Leased

2345 Crystal Dr., Arlington, VA · Office · Corporate · 46,184 · Leased

20511 Seneca Meadows Parkway, Germantown, MD · Engineering, Office · Advanced Sensing and Computing · 42,476 · Leased

150 Bluewater Road, Bedford, NS, Canada · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 41,750 · Owned

Block 7962 Plot 14 Floor 1 Buildings 224-235, 237, 238, Netanya, Israel · Engineering, Office · Advanced Sensing and Computing · 40,238 · Leased

11 Durant Ave, Bethel, Ct · Distribution Warehouse · Integrated Mission Systems · 37,840 · Leased

Block 22884 Plot 982 3 Ha’Sadna Street, Beit She’an, Israel · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 37,670 · Owned

1021 Production Ct, Madison, AL · Distribution, Office · Advanced Sensing and Computing · 33,000 · Leased

1832 Wright Street, Madison, WI · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 32,319 · Leased

651 Anchors Street, Ft. Walton Beach, FL · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 31,783 · Owned

1620 Old Airport Road, West Plains, MO · Distribution, Warehouse · Integrated Mission Systems · 30,000 · Owned

590 Territorial Drive, Bolingbrook, IL · Manufacturing, Engineering, Office · Advanced Sensing and Computing · 26,460 · Leased

6 Trowbridge Drive, Bethel, CT · Office · Integrated Mission Systems · 23,409 · Leased

• Our business may be harmed if we are unable to appropriately manage our inventory.
• Our working capital requirements and cash flows are extremely variable and subject to fluctuation, which could have a material adverse effect on our business, financial condition and results of operations.
• We cannot predict future capital needs, the sufficiency of our current financing or our ability to obtain additional financing if needed, on terms acceptable to us, if at all.
• We are subject to global and regional economic downturns, rising interest rates and related risks.
• Failure to maintain an effective system of internal control over financial reporting or to remediate weaknesses could materially harm our revenues, erode stockholder confidence in our ability to pursue business and report our financial results/condition, and negatively affect the trading price of our common stock.
• The agreements governing our debt contain various covenants that limit our ability to take certain actions and also require us to meet financial maintenance tests, and failure to comply with these
• covenants could have an adverse impact on our business, financial condition and results of operations.
• To service indebtedness and fund other cash needs, we will require a significant amount of cash, and our ability to generate cash depends on many factors beyond our control.
• We face intense competition and may suffer losses if we fail to compete efficiently.
• Preferences or set-asides for small or small disadvantaged businesses could impact our ability to be a prime contractor and limit our opportunity to work as a subcontractor on certain governmental procurements.
• We depend in part upon our relationships and alliances with industry participants in order to generate revenue, which involves risks and uncertainties.
• Contractual disputes with industry participants or the inability of our key suppliers to timely deliver our components, parts or services, could cause our products, systems or services to be produced or delivered in an untimely or unsatisfactory manner.
• We may be susceptible to a security breach, through cyber-attack, cyber-intrusion, insider threats or otherwise, and to other significant disruptions of our IT networks and related systems, or those of our customers, suppliers, vendors, subcontractors, partners, or other third parties.
• Some of our contracts with the U.S. government are classified, which may limit investor insight into portions of our business.
• We may be at greater risk from terrorism and other threats to our physical security and personnel, than other companies.
• Our future success will depend on our ability to respond to the rapid technological changes in the markets in which we compete, and our ability to introduce new or enhanced products and to enter into new markets.
• Many of our contracts contain performance obligations that require innovative design capabilities, are technologically complex, require state-of-the-art manufacturing expertise or are dependent upon factors not wholly within our control. Failure to meet our contractual obligations could adversely affect our business, financial condition, results of operations, reputation and future prospects.
• We may not be able to fully exploit or obtain patents or other intellectual property protections necessary to secure our proprietary technology.
• Third parties have claimed in the past and may claim in the future that we are infringing directly or indirectly upon their intellectual property rights, and third parties may infringe upon our intellectual property rights.
• Our reputation and ability to do business may be impacted by the improper conduct of our employees, agents, affiliates, subcontractors, suppliers, business partners or joint ventures in which we participate.
• Our business, financial condition, and results of operations could be materially adversely affected by climate change regulations.
• The outcome of litigation, arbitration, investigations, claims, disputes, enforcement actions and other legal proceedings in which we are involved from time to time is unpredictable, and an adverse decision in any such matter could have a material adverse impact on our business, financial condition and results of operations.
• Our international business exposes us to additional risks, including risks related to geopolitical conflicts, including the war in Israel, and economic factors, laws and regulations.
• Our efforts to penetrate new territories present significant challenges and could adversely affect our growth strategy and our financial performance.
• We may not be successful in obtaining the export licenses necessary to conduct certain operations abroad, and Congress may prevent proposed sales to certain foreign governments.
• A failure to attract and retain technical and other key personnel could reduce our revenues and our operational effectiveness.
• Our business could be harmed in the event of difficulties with our unionized workforce, including the effects of a prolonged work stoppage.
• Our insurance coverage, customer indemnifications or other liability protections may be unavailable or inadequate to cover all of our significant risks or our insurers may deny coverage of or be unable to pay for material losses we incur, which could adversely affect our business, financial condition and results of operations.
• We have unfunded obligations under our pension plans, and we use estimates in accounting for our pension plans and changes in our estimates could adversely affect our financial condition and results of operations.
• Changes in future business or other market conditions could cause business investments and/or recorded goodwill or other long-term assets to become impaired, resulting in substantial losses and write-downs that would adversely affect our business, financial condition and results of operations.
• Our ability to use our net operating losses to offset future taxable income may be subject to certain limitations.
• We could be liable for certain tax liabilities, including tax liabilities of US Holding and its subsidiaries, under tax law and the tax allocation agreement.
• Acquisitions could result in operating difficulties, dilution and other harmful consequences.
• Proxy Agreement—Our indirect majority stockholder, Leonardo S.p.A., may have interests that are different from, or conflict with, those of our other stockholders, and their significant ownership in us may discourage change of control transactions.”
• Pandemics, epidemics, disease outbreaks and health emergencies, such as the COVID-19 pandemic, have had, and future public health crises could have, an adverse impact on our business, financial condition and results of operations.
• We have significant operations in locations that could be materially and adversely impacted in the event of a natural disaster or other significant disruption.
• We are subject to environmental laws and regulations, and our ongoing operations may expose us to environmental liabilities affecting our reputation, business, financial condition and results of operations.
• Our leases may be terminated or we may be unable to renew our leases on acceptable terms and if we wish to relocate, we may incur additional costs if we terminate a lease.
• We cannot predict the consequences of future geopolitical events, but they may adversely affect the markets in which we operate, our ability to insure against risks, our operations or our results of operations.
• Risks Relating to Our Ownership and Status under the Amended and Restated Proxy Agreement
• We operate under an amended and restated proxy agreement with the DoW that regulates significant areas of our governance. If we fail to comply with the amended and restated proxy agreement, our classified U.S. government contracts could be terminated, which could have a material adverse impact on our business, financial condition and results of operations.
• with, those of our other stockholders, and their significant ownership in us may discourage change of control transactions.
• CFIUS may modify, delay or prevent our future acquisition or investment activities.
• Our indirect majority stockholder, Leonardo S.p.A., may have interests that are different from, or conflict with, those of our other stockholders, and their significant ownership in us may discourage mergers and acquisitions or change of control transactions.
• Our third amended and restated certificate of incorporation provides that we waive any interest or expectancy in corporate opportunities presented to Leonardo S.p.A.
• We are obligated to provide certain services to Leonardo S.p.A., which may divert human and financial resources from our business, and to rely on provision of certain services from Leonardo S.p.A., which we may be unable to replicate should the need arise.
• Risks Related to Ownership of our Common Stock
• There can be no assurance that we will continue to pay or increase our dividend or to repurchase shares of our common stock. Additionally, there can be no assurance that we will not accelerate our dividend or repurchases of our common stock.