Defense giant L3Harris forced out Chairman and CEO Chris Kubasik, 65, over the weekend after a board investigation found he had violated the company’s policies Code of Conduct.
The $50 billion aerospace and technology company did not disclose what Kubasik did to violate the code, but said it did not involve financial reporting, controls, customer relationships or operations. Kubasik, who has served as CEO since 2021, has resigned from the board of L3Harris and all of its subsidiaries and affiliates. The abrupt exit comes 14 years after Kubasik was fired by another top defense contractor after an ethics investigation found he had a relationship with a subordinate employee.
Under the conditions of Separation agreement Between Kubasik and L3Harris struck on Sunday, Kubasik leaves without severance or bonuses, and as part of the deal he forfeited all of his outstanding stock awards, stripping him of two option awards and other awards that could have given him $45 million in cash and equity.
Kubasik will continue to retain some of his options, which could give him about $23 million in stock, as well as more than 200,000 shares of L3Harris that he already owns, which are worth nearly $57 million. L3Harris paid Kubasik $66.3 million in compensation during the year last three yearsincluding $25.6 million in fiscal year 2025. During his tenure, L3Harris had a close relationship with the Trump Administration’s War Department. In April, L3Harris subsidiary Aerojet Rocketdyne closed a deal for a $1 billion government investment in the rocket engine business that L3Harris plans to take public. L3Harris too a 747 delivered to the White House in June to serve as interim Air Force One after converting the Qatari royal family’s gifted jet.
The separation disclosure states that L3Harris’ board decided to reach an agreement with Kubasik to get him to leave rather than attempt to fire him for cause. Kubasik did not admit to violating the company’s code of conduct and the agreement expressly prohibits any of the parties or their representatives from making public statements that are “conflicting with Monday’s disclosures.” The board named Sam Mehta, 53, as Kubasik’s immediate successor. Mehta led L3Harris’ space and mission systems, communications and spectrum dominance segments. Lewis Hay II, previously the lead independent director on the board, will become independent chairman.
L3Harris shares fell more than 4% on Monday following the company’s surprise CEO change. L3Harris reiterated its full-year 2026 guidance on revenue, growth, operating margin and other metrics.
“Chris has overseen significant change during his tenure at L3Harris and built a strong team to move the company forward,” said Hay a statement. “However, our values guide the actions we take every day as a trusted disruptor and are at the heart of everything we do. The Board and Chris agree that it is right to implement our succession plan today. We thank him for his service.”
Kubasik’s downfall comes 14 years after he was forced to leave Lockheed Martin This was confirmed after an ethics investigation there a “close personal relationship.”“between Kubasik and a subordinate employee. Kubasik served as vice chairman, president and chief operating officer, but had already been appointed CEO at the defense company in 2013. Kubasik had to resign weeks before he was supposed to take over. He was then replaced by Marillyn Hewson, who held the post until she took over as chief executive in 2020.
Lockheed paid Kubasik $3.5 million as part of a Separation agreement as he left, but L3Harris was even stricter, despite the amount he takes with him.
Under the terms of his contract with L3Harris, Kubasik forfeited his 2026 bonus and was not eligible for a $9.3 million severance or separation payment. He also had to forgo $7.6 million worth of unvested, restricted stock and performance shares and options, meaning he has at least $45 million on the table. That figure could have been $62 million if L3Harris had paid out the maximum for performance in the next two award cycles.
The L3Harris Board of Directors will still have the right to claw back its options if a court judgment later establishes undisclosed misconduct, including fraud, sexual assault, embezzlement, quid pro quo sexual harassment, securities violations, or material violations of regulations.
L3Harris did not respond to requests for comment. Attempts to reach Kubasik were unsuccessful.