Company: TSEM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001178913-25-001537
Chunk: 218

Company: TOWER SEMICONDUCTOR LTD
Filing Date: 2025-04-30
Form: 20-F
Item: Item 6
Chunk 218
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549 Base PSUs, 58,774 Upside PSUs Type 1 and 38,790 Upside PSUs Type 2, subject to the time-vesting schedule as detailed above, for a total compensation value of approximately $11.9 million.
 
In addition, at our 2024 annual general meeting, our shareholders approved, following the approval of the Compensation Committee and Board of Directors, a long-term incentive PSU award to our chief executive officer, that provides him with the opportunity to earn 217,500 RSUs if a very ambitious share price of $80 per share is achieved within a five year period, calculated as an average of the share price during any consecutive 20 trading days during the five year performance period (subject to time-based vesting if the defined share price is met during the first three years following Board approval of the award on May 27, 2024 (the “Board Approval”), as detailed below). The value of the long-term incentive PSU award under the Equity Calculation Model (as defined in our compensation policy) was $4.5 million as of the date of the Board Approval. If the $80 share price (calculated as a 20 consecutive trading day average) is not achieved during the five-year period, but the Company’s share price reaches $75 or more at the end of the five-year performance period (calculated as an average of the closing share price for the last 20 trading days of such period), the PSU award will partially vest, at a ratio between 33% of the award to 100% of the award, depending on where the share price falls within the $75 and $80 range. The time-vesting component of this award applies if the performance goal is achieved within the first three years from the date of the Board Approval, as follows: (i) if the performance price is met during the first year following the Board Approval, two-thirds of the award will vest on the second anniversary of the Board Approval and the remaining one-third will vest on the third anniversary of the Board Approval, subject to the chief executive officer’s continued employment through each such vesting date; (ii) if the performance price is met during the second year following the Board Approval, one-third of the award will vest immediately, one-third will vest on the second anniversary of the Board Approval and the remaining one-third will vest on the third anniversary of the Board Approval, subject to the chief executive officer’s continued employment through each such vesting date; and (iii) if