Company: TSEM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001178913-25-001537
Chunk: 56

Company: TOWER SEMICONDUCTOR LTD
Filing Date: 2025-04-30
Form: 20-F
Item: Item 3
Chunk 56
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.18 to 0.8 micron for the processing of products using CMOS and analog based
technologies. Under the terms of the acquisition agreement, until the termination or expiration of the supply agreement entered into between
Maxim and Tower SA, Maxim has a right of first offer to re-purchase Fab 9 in the event Tower or any of its subsidiaries sell, transfer,
dispose of, cease the operations of, close, transfer or relocate Fab 9, or if Tower or its operations at Fab 9 become subject to a petition
of bankruptcy or liquidation.

37

Fab 10

In June 2021, we entered into an agreement with ST to share, under
a collaborative arrangement, a 300mm facility being constructed by ST in Agrate, Italy, following which TSIT, a wholly-owned Italian subsidiary
of Tower, was incorporated. TSIT and ST share the cleanroom space and facility infrastructure, and TSIT has the right to use one-third
of the installed capacity for its foundry customers, which we refer to as “ Fab 10.” As part of the qualification and
ramp-up process, TSIT acquired and installed certain of its own equipment in the Agrate facility and developed certain processes and technologies.
The comprehensive qualification process was completed during the fourth quarter of 2024, following which volume production and operations,
which are managed by ST, commenced.

Fab 11

In September 2023, we entered into an agreement with Intel under
which we will have access to a 300mm capacity corridor at Intel’s facility in New Mexico, U. S., which we refer to as “ Fab
11.” The corridor is currently in the initial equipment procurement and installation phase and is not yet qualified for production.

ENVIRONMENTAL, SAFETY AND QUALITY MATTERS AND
CERTIFICATIONS

We prioritize achieving and maintaining high quality standards.
All our facilities are ISO 9001 certified, an international quality standard that provides guidance to achieve an effective quality management
system. In addition, all our facilities are IATF16949 certified, a stringent automotive quality standard.

Our operations are subject to a variety of laws and governmental
regulations relating to the use, storage, discharge and disposal of toxic or otherwise hazardous materials used in our processes. Failure
to comply with these laws and regulations could subject us to material costs and liabilities, including costs to clean up contamination
caused by our operations. All of our facilities are ISO 14001 certified, an international standard that provides management guidance