CONCORD, N.C. — Chip Ganassi Racing has released NASCAR Cup Series driver Kyle Larson from his contract following Larson’s use of a racial slur during an iRacing event on Sunday.

“After much consideration, Chip Ganassi Racing has determined that it will end its relationship with driver Kyle Larson,” the team said in a statement. “As we said before, the comments that Kyle made were both offensive and unacceptable especially given the values of our organization. As we continued to evaluate the situation with all the relevant parties, it became obvious that this was the only appropriate course of action to take.”

The news comes a day after Larson was suspended by both NASCAR and the race team. Nearly all of Larson’s sponsors, including Credit One Bank, McDonald’s, First Data/Clover and Lucas Oil, either terminated or suspended their support of the six-time NASCAR Cup Series race winner.

In addition, has also terminated its relationship with Larson. There is no word on how this will affect Larson’s World of Outlaws NOS Energy Drink Sprint Car Series program, which is sponsored by Chevrolet.

“As previously stated, Chevrolet does not tolerate the inappropriate behavior exhibited by Kyle Larson,” Chevrolet said in a statement on Tuesday. “As a result, Chevrolet is immediately terminating its relationship with Mr. Larson.”

Larson has spent nearly his entire NASCAR Cup Series career with Chip Ganassi Racing. He made his NASCAR Cup Series debut in 2013 driving the No. 51 Chevrolet for Harry Scott Jr. with support from Chip Ganassi Racing.

The following season he made his full-time debut for Chip Ganassi Racing, running the full series schedule for the first time. In 219 starts with the team, Larson has earned six wins, eight poles, 56 top-five and 101 top-10 finishes. His best championship finish came in 2019, when he ended the year sixth in the standings.

Larson issued a public apology for his use of the racial slur on Monday, during which he admitted that “the damage is probably unrepairable.”

“I want to say I’m sorry,” Larson said in his apology. “Last night I made a mistake and said the word that should never, ever be said. There’s no excuse for that; I wasn’t raised that way. It’s just an awful thing to say. I feel very sorry for my family, my friends, my partners, the NASCAR community, and especially the African-American community. I understand the damage is probably unrepairable, and I own up to that. I want to let you all know how sorry I am. Finally, I just want to say that I hope everyone is staying safe during these crazy times. Thank you.”