Overview: The Kraken is supported by 8 tentacles, 6 have an attack range of 1, and two in the back that have an attack range of 2. Difficulty wise, an easy fight.
Battle area:
Short range tentacle:
Long range tentacle:
Kraken:
It was smooth sailing in this battle, all the tentacles are basically powerless, only able to deal 1 damage, unless they landed a critical attack, which would deal about 10 damage. The Kraken's attacks weren't much better, totalling only about 10 to 20 damage max.
I pretty much one shotted all of the tentacles with either attacks or magic.
Killing off some tentacles:
The Kraken didn't fair much better:
But, at least it got an attack off before dieing:
I went all out for the last hit, by using the Tiamat Summon:
And that closed out battle 1.
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Warning, the self-destruct system has been activated, all personnel should evacuate immediately, 5 minutes to detonation.