Lockheed Martin, Home Of Today’s Second Ethics-Driven Resignation

Move over, David Petraeus. You’re not the only leading member of the defense establishment to be in hot water over your personal life this afternoon.

Christopher E. Kubasik, the vice-chairman, president and COO of defense giant Lockheed Martin LMT +0.07%, who was scheduled to become the company’s CEO in January, resigned today after it was confirmed he had a “close personal relationship with a subordinate employee.”



BETHESDA, Md., Nov. 9, 2012 – Lockheed Martin [NYSE:LMT] announced today that its board of directors asked for and received the resignation of Christopher E. Kubasik, 51, from his role as vice chairman, president and chief operating officer (COO), effective immediately. The board also elected Marillyn A. Hewson, 58, president and COO, and a director effective immediately, and chief executive officer (CEO) and president effective January 1, 2013. Hewson will also retain her role as executive vice president of Electronic Systems business area until the end of this year.

Kubasik, previously slated to become CEO in January, resigned after an ethics investigation confirmed that he had a close personal relationship with a subordinate employee. His actions violated the company’s Code of Ethics and Business Conduct, but did not affect the company’s operational or financial performance.

http://blogs.wsj.com/corporate-intelligence/2012/11/09/lockheed-martin-home-of-todays-second-ethics-driven-resignation/