Company: TSEM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001178913-25-001537
Chunk: 305

Company: TOWER SEMICONDUCTOR LTD
Filing Date: 2025-04-30
Form: 20-F
Item: Item 19
Chunk 305
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, if any, and, in the event of the liquidation of Tower, in the distribution of assets after satisfaction of liabilities to creditors. Each ordinary share is entitled to one vote on all matters to be voted on by shareholders.
B. Equity Incentive Plans
(1) Tower’s 2013 Share Incentive Plan (the “2013 Plan”)
In 2013, the Company adopted a share incentive plan for directors, officers and employees of the Company (“2013 Plan”).
Under the 2013 Plan, the Company granted a total of approximately1.58million restricted stock units (“ RSUs”) to its employees and directors during 2024 and a total of approximately0.80million RSUs to its employees and directors during 2023, including the below-described grants to the CEO and directors, with vesting periods of up tothree years. These RSUs amounts also include performance based RSUs (“ PSUs”) and market based RSUs (“ MSUs”). The Company determines compensation expenses of the RSUs based on the closing market price of the ordinary shares on the last trading day immediately prior to the date of grant and amortizes it over the applicable vesting period, taking into consideration achievement, if any, of performance and market criteria.
During 2024, the Company's CEO and members of the Board of Directors were awarded the following RSUs under the 2013 Plan:
(i) approximately78.4thousand time-vested RSUs,176.3thousand PSUs and256.3thousand MSUs, granted to the CEO, with 33% of such RSUs, PSUs and MSUs to vest at the end of each year for3 yearsfollowing the grant date. The total compensation value of these awards was approximately $16,500. As was approved by shareholders in 2019, the grant also included a provision requiring the CEO to own, commencing May 2024, ordinary shares of the Company at a minimum value that equals at least three times his annual base salary as of May 2024 (the “ Minimum Holding”). As of December 31, 2024, the CEO is in compliance with the Minimum Holding requirement;
(ii) approximately7.4thousand time-vested RSUs to the chairman of the Board of Directors (the “ Chairman”) for a total compensation value of $300, to vest33% at the end of each year for3 yearsfollowing the grant date; and
(iii) approximately4.9thousand