Sypris Wins Award for Cryptographic Program

TAMPA, Fla. – Sypris Electronics, LLC, a subsidiary of Sypris Solutions, Inc. (Nasdaq/GM: SYPR), announced today that it has recently received a follow-on award from a U.S. global defense contractor to manufacture and test embedded circuit card assemblies that will perform certain of the cryptographic functions for the Army Key Management System (AKMS). Production is expected to begin in 2024. Terms of the agreement were not disclosed.

“Backlog on this program now extends into 2025, which we believe will help support the continuity of production and timely deliveries of this important product to our national security for years to come.”

The AKMS is a fielded system that consists of three subsystems: local communications security management software (LCMS), automated communications engineering software (ACES) and the simple key load device. Under the umbrella of our nation’s Electronic Key Management System, the AKMS provides tactical units and sustaining bases with an organic key generation capability and an efficient secure electronic key distribution means.

The LCMS workstation provides automated key generation, distribution and communications security accounting. According to news sources, the ACES, which is the frequency management portion of AKMS, has been designated by the Military Communications Electronics Board as the joint standard for use by all services in development of frequency management and cryptographic net planning and signal operation instructions generation.

The embedded circuit card assemblies to be produced by Sypris will perform certain of the cryptographic functions for a ruggedized, portable, hand-held simple key load device that will be used to securely receive, store and transfer data between compatible cryptographic and communications equipment. The device incorporates features that provide for the streamlined management of communications security key, electronic protection data and signal operation instructions.

“This follow-on award is emblematic of our strong position as a long-standing electronics manufacturing services partner in this critical encrypted communications sector,” said Mark R. Kane, Vice President & General Manager of Sypris Electronics. “Backlog on this program now extends into 2025, which we believe will help support the continuity of production and timely deliveries of this important product to our national security for years to come.”

Sypris Electronics is a trusted provider of engineering and manufacturing services for complex, mission-critical electronic solutions for customers in the Defense, Space, Deep Sea Communications and Industrial markets. Backed by over 50 years of experience, the Company specializes in producing electronics for high-cost-of-failure applications. For more information, please visit www.sypriselectronics.com.

Forward-Looking Statements

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