Company: TSEM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001178913-25-001537
Chunk: 94

Company: TOWER SEMICONDUCTOR LTD
Filing Date: 2025-04-30
Form: 20-F
Item: Item 3
Chunk 94
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 Iris Avner and Mr. Sagi Ben Moshe. Mr. Yoav Z. Chelouche serves as the audit committee chairman.

Composition requirements

The Companies Law requires public companies to appoint an audit
committee; however, following the Company’s determination to follow the relief with respect to external directors under the Relief
Regulations, as described above, the composition of our audit committee is governed by the rules set forth in the Nasdaq Listing Rules
and the Exchange Act.

Under Nasdaq Listing Rules, we are required to maintain an audit
committee consisting of at least three independent directors (within the meaning of the Exchange Act and Nasdaq Listing Rules), each of
whom must meet certain requirements for financial literacy and one of whom has accounting or related financial management expertise, and
none of whom has participated in the preparation of our or any of our subsidiaries financial statements at any time during the prior three
years.

The Board of Directors has determined that all of the members of
the audit committee meet the independence and financial knowledge requirements for audit committee service of the Nasdaq Listing Rules
and the Exchange Act. In addition, the Board of Directors has determined that Ilan Flato, Yoav Chelouche, Iris Avner and Avi Hasson
meet the Nasdaq Listing Rules requirement regarding financial sophistication and that each of the above is an audit committee financial
expert pursuant to the applicable SEC rules.

Audit Committee role

Our board of directors has adopted an audit committee charter setting
forth the responsibilities of the audit committee consistent with the Companies Law, SEC rules and the Nasdaq Listing Rules, which include:

  retaining and terminating our independent auditors, subject to the ratification of the board of directors, and in the case of retention,  

  pre-approving of audit and non-audit services and related fees and terms, to be provided by the independent auditors;  

  overseeing the accounting and financial reporting processes of our company and audits of our financial statements and the effectiveness  

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  reviewing with management and our independent auditor our annual and quarterly financial statements prior to publication or filing  
  (or submission, as the case may be);                                                                                                
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  recommending to the board of directors the retention and termination of the internal auditor, and the internal auditor’s engagement        

  overseeing the Company’s risk assessment and reviewing regulatory compliance;  

  determining whether to approve certain related party transactions (including transactions in which an office