Why not? Killing one of the big characters ups the drama ante for the rest of the season because EVERYBODY becomes expendable. Also Eddie has a multifaceted career and has already impacted Galactica production schedule so he could do other stuff (no public grousing or complaining from Ron and company, just aknowledgement that they had to write around his being unavailable), so it could be that everybody had a sit down and decided to part ways (that's why Billy got killed off, Paul Campbell was getting lots of offers and all parties mutually agreed they were holding his career back keeping him on Galatica).