The license, valid through September 1, 2029, authorizes First Breach to engage in the regulated importation of explosive materials, expanding the capabilities available at its Hagerstown, Maryland facility. Together with the Company's existing federal and state licenses, it supports First Breach's ability to access, handle and integrate certain regulated materials and components required for the development, testing and manufacture of complete attritable strike drone systems.

These expanded capabilities are expected to support First Breach's previously announced plans to begin scaling drone production in the second quarter of 2027 scaling drone production in the second quarter of 2027, with a targeted production capacity of more than 2,500 drones per week as manufacturing operations expand. The license adds to First Breach's existing federal and state licensing, defense trade compliance infrastructure and ISO 9001:2015-certified quality management system.

The new license does not constitute approval of a specific drone platform, payload, military procurement or export transaction. Any future production, sale or export of defense articles will remain subject to all applicable U.S. laws, customer requirements and regulatory approvals.