Company: TSEM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001178913-25-001537
Chunk: 189

Company: TOWER SEMICONDUCTOR LTD
Filing Date: 2025-04-30
Form: 20-F
Item: Item 5
Chunk 189
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 approximately $8.0 million, comprised of 40% time-based vesting
RSUs and 60% PSUs (referred to as the “ Base PSUs”); (b) additional equity grants in the form of additional PSUs (referred
to as “ Upside PSUs”), as follows: (i) Upside PSUs with a value of approximately $2.4 million (referred to as the “ Upside
PSUs Type 1”); and (ii) Upside PSUs with a value of approximately $1.6 million (referred to as the “ Upside PSUs Type 2”).
The time-based vesting RSUs vest over a three-year period, such that one-third shall vest at the end of each year over a three-year period
from the date of grant. The vesting of the Base PSUs was subject to the attainment of certain pre-defined financial performance metrics
of net profit and cash from operations for the year ended December 31, 2024, as determined by the Compensation Committee and Board of
Directors, weighted equally. The actual number of Base PSUs earned (subject to time-based vesting, as described below) was based on the
Company’s performance relative to the pre-defined 2024 performance measures, and if the 2024 performance measures are met, the Base
PSUs that are earned vest over a three year period, such that one third of the earned Base PSUs vest at the end of each year from the
date of grant. The vesting of the Upside PSUs Type 1 was conditioned upon the Company’s actual financial performance in 2024 exceeding
the pre-defined 2024 financial performance metrics for the vesting of the Base RSUs. Subject to meeting such condition, the Upside PSUs
Type 1 earned shall be in proportion to the degree by which the pre-defined 2024 financial performance targets are exceeded in relation
to a certain target percentage that was pre-defined by the Compensation Committee and Board of Directors, and such portion of Upside PSUs
Type 1 earned, vests over the three-year time-vesting schedule as detailed above for the Base PSUs. The vesting of the Upside PSUs Type
2 was conditioned upon the attainment of three pre-defined performance measures, as follows: (i) meeting two share price performance measures
within one year of the Board approval of the grant of the Upside PSUs Type 2; and (ii