The new CFO won’t participate in matters involving Boeing’s defence and space business until the end of 2025, Boeing said. He will be given some visibility into the division’s aggregate financial performance, however.
The executive will also be restricted until April 2026 from providing advice or making decisions involving vendors and programs in which Lockheed is involved. He’s also barred from soliciting Lockheed employees or participating in “procurement activities” where his former employer is involved until April 2027.
Malave, who’s succeeding Brian West as Boeing’s top financial officer, will receive an annual base salary of US$1.05 million, according to the filing. He’ll also be eligible for annual incentive compensation with a target value of US$6.5 million.
Boeing also agreed to pay Malave US$11 million in cash, restricted stock and options to offset unvested equity awards he forfeited by leaving Lockheed.
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He’ll get another US$7 million in cash when he joins Boeing on Aug 15 to make up for vested Lockheed shares that he forfeited “as a result of a settlement agreement relating to non-competition agreements he entered into during his employment with Lockheed”, the filing said.
A Lockheed spokesperson said in an email that the company is “pleased to come to an agreement that ensures the protection of our proprietary and intellectual information, and are working to recoup monetary compensation from the former executive”.
A Boeing representative declined to comment.
Malave will be required to repay the money if he leaves Boeing within two years.
