Seoul, Korea and Haifa, Israel,March 15, 2021 - The Korea Aerospace Industries Ltd. (KAI) and Elbit Systems Ltd. signed a Memorandum of Understanding (MOU) to expand cooperation in the field of Unmanned Aircraft Systems (UAS).

The cooperation will address potential UAS programs for the Korean Defense Forces, as well as additional global customers. The companies will cooperate to develop the next generation UAS solutions for intelligence, surveillance, target acquisition, and reconnaissance (ISTAR) missions, based on both companies' technological experience in the unmanned field.

Elbit Systems is a leading UAS manufacturer with a portfolio of more than 10 different unmanned platforms from tactical-drones up to 1.5 ton Medium Altitude Long Endurance UAS (MALE). Elbit Systems' UAS are in operational service for decades and have been selected by more than 30 different customers in five continents, among them Israel, the UK, Switzerland, Canada, France, Brazil, Chile and others.

Korea Aerospace Industries has been taking a leading role in the Korean national aerospace industry with successful development of the KT-1 and T-50 Trainers, KUH-1 and LAH/LCH Helicopters, KFX Fighter (on-going), and satellites and space launch vehicles. KAI is also the pioneer in the Korean national UAS industry by developing the tactical UAS for the Korean Defense Forces.

Hermes Starliner UAS

About Korea Aerospace Industries, Ltd. (KAI)

Korea Aerospace Industries, Ltd., as a total solution provider in aerospace, has been taking leading role in national aviation industry and security with successful development of KT-1 Basic Trainer, T-50 Advanced Jet trainer, FA-50 Light Combat Aircraft, KUH-1 Utility Helicopter and RQ-101 Unmanned Aerial Vehicle. Currently KFX (Korea Fighter eXperimental) and LAH (Light Armed Helicopter)/LCH(Light Civil Helicopter) program which are the future growth engine are under development. In addition, KAI is extending its scope to space business by participating in the development such as Korea Multi-Purpose Satellites, Compact Advanced Satellite 500 and Defense Satellite, as well as Korea Space Launch Vehicle. For additional information, visit: https://www.koreaaero.com/.

About Elbit Systems

Elbit Systems Ltd. is an international high technology company engaged in a wide range of defense, homeland security and commercial programs throughout the world. The Company, which includes Elbit Systems and its subsidiaries, operates in the areas of aerospace, land and naval systems, command, control, communications, computers, intelligence surveillance and reconnaissance ('C4ISR'), unmanned aircraft systems, advanced electro-optics, electro-optic space systems, EW suites, signal intelligence systems, data links and communications systems, radios, cyber-based systems and munitions. The Company also focuses on the upgrading of existing platforms, developing new technologies for defense, homeland security and commercial applications and providing a range of support services, including training and simulation systems. For additional information, visit: https://elbitsystems.com/, follow us on Twitter or visit our official Facebook, Youtube and LinkedIn Channels.

Visit our Press Relations website for background materials and information regarding Elbit Systems fields of activity.

David Vaaknin

Vice President, Head of Corporate Communications

Tel: 972-77-2946691

Cell: 972-52-8000403

E-Mail: david.vaaknin@elbitsystems.com

Dana Tal-Noyman

Manager International Corporate Communications

Tel: 972-77-294-8809

Cell: 972-54-9998809

E-Mail: dana.tal@elbitsystems.com

This press release may contain forward‑looking statements (within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended and the Israeli Securities Law, 1968) regarding Elbit Systems Ltd. and/or its subsidiaries (collectively the Company), to the extent such statements do not relate to historical or current facts. Forward-looking statements are based on management's current expectations, estimates, projections and assumptions about future events. Forward‑looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions about the Company, which are difficult to predict, including projections of the Company's future financial results, its anticipated growth strategies and anticipated trends in its business. Therefore, actual future results, performance and trends may differ materially from these forward‑looking statements due to a variety of factors, including, without limitation: scope and length of customer contracts; governmental regulations and approvals; changes in governmental budgeting priorities; general market, political and economic conditions in the countries in which the Company operates or sells, including Israel and the United States among others; changes in global health and macro-economic conditions; differences in anticipated and actual program performance, including the ability to perform under long-term fixed-price contracts; changes in the competitive environment; and the outcome of legal and/or regulatory proceedings. The factors listed above are not all-inclusive, and further information is contained in Elbit Systems Ltd.'s latest annual report on Form 20-F, which is on file with the U.S. Securities and Exchange Commission. All forward‑looking statements speak only as of the date of this release. Although the Company believes the expectations reflected in the forward-looking statements contained herein are reasonable, it cannot guarantee future results, level of activity, performance or achievements. Moreover, neither the Company nor any other person assumes responsibility for the accuracy and completeness of any of these forward-looking statements. The Company does not undertake to update its forward-looking statements.

Elbit Systems Ltd., its logo, brand, product, service and process names appearing in this Press Release are the trademarks or service marks of Elbit Systems Ltd. or its affiliated companies. All other brand, product, service and process names appearing are the trademarks of their respective holders. Reference to or use of a product, service or process other than those of Elbit Systems Ltd. does not imply recommendation, approval, affiliation or sponsorship of that product, service or process by Elbit Systems Ltd. Nothing contained herein shall be construed as conferring by implication, estoppel or otherwise any license or right under any patent, copyright, trademark or other intellectual property right of Elbit Systems Ltd. or any third party, except as expressly granted herein.

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Elbit Systems Ltd. published this content on 15 March 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 15 March 2021 09:04:04 UTC.