Ousted L3Harris CEO Chris Kubasik forfeits $45 million—but he’ll still walk away with $80 million in stock and options

Defense giant L3Harris forced out chairman and chief executive Chris Kubasik, 65, over the weekend after a board investigation revealed that he had violated the company’s code of conduct .

The $50 billion aerospace-and-tech company did not provide any detail about what Kubasik did to violate the code, but specified it did not involve financial reporting, controls, customer relationships, or operations.

Kubasik, who has served as CEO since 2021, resigned from the L3Harris board and all of its subsidiaries and affiliates.The abrupt departure comes 14 years after Kubasik was fired from another leading defense contractor, following an ethics investigation that determined he had a relationship with a subordinate employee.

Under the terms of the separation agreement between Kubasik and L3Harris struck on Sunday, Kubasik leaves with no severance or bonus, and as part of the deal he forfeited all his outstanding equity awards, stripping him of two option grants and other awards that could have paid him $45 million in cash and equity.

Kubasik will still hold onto some of his options that can net him stock worth about $23 million, as well as more than 200,000 shares of stock in L3Harris that he already owns, valued at nearly $57 million.

L3Harris has paid Kubasik compensation valued at $66.3 million during the past three years , including $25.6 million in fiscal 2025.

During his tenure, L3Harris had a close relationship with the Trump Administration’s Department of War.

In April, L3Harris subsidiary Aerojet Rocketdyne made a deal for a $1 billion government investment into the missile-propulsion business L3Harris plans to take public.

L3Harris also delivered a 747 to the White House to serve as an interim Air Force One in June, after modifying the gifted jet from Qatar’s royal family.

The separation disclosure says the L3Harris board decided to reach a deal with Kubasik to get him to leave rather than trying to fire him for cause.

Kubasik did not admit to any violation of the company code of conduct, and the deal expressively forbids any of the parties or their representatives from making public statements “inconsistent” with Monday’s disclosure.

The board appointed Sam Mehta, 53, as Kubasik’s immediate replacement.

Mehta had been leading L3Harris’ space and mission systems and communications and spectrum dominance segments.

Lewis Hay II, formerly the lead independent director on the board, will become independent chairman.