Company: TSEM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001178913-25-001537
Chunk: 57

Company: TOWER SEMICONDUCTOR LTD
Filing Date: 2025-04-30
Form: 20-F
Item: Item 3
Chunk 57
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how to achieve an effective environmental management system. Risks have been evaluated and mitigation plans are in place to prevent and
control accidental spills and discharges. Procedures have also been established at all our locations to ensure that any such potential
situations are properly addressed. Our environmental management system assists in evaluating compliance with applicable environmental
laws and regulations and establishes loss prevention and control measures. In addition, our facilities are subject to strict regulations
and periodic monitoring by governmental agencies.

For safety, all of our facilities are OHSAS/ISO 45001 certified,
an international occupational health and safety standard that provides guidance to achieve an effective health and safety management system.
Our health and safety standard management system assists in evaluating compliance with applicable health and safety laws and regulations
and establishes preventative and control measures.

Our goal in implementing OHSAS 45001, ISO 14001, ISO 9001 and IATF16949
systems is to continually improve our environmental, health, safety, and quality management systems.

In addition, we are committed to an ESG program focused on social
contribution and sustainability through different initiatives and activities. We have issued a dedicated report on our ESG policies, including
our strategy and long-term plan. We engage in voluntary initiatives (such as disclosures, certifications, and improvement goals,
among others) to increase our company’s contribution to society and our environment.

ITEM
4A. UNRESOLVED STAFF COMMENTS

Not applicable.

ITEM
5. OPERATING AND FINANCIAL REVIEW AND PROSPECTS

The information contained in this section should be read in conjunction
with our audited consolidated financial statements and the related notes thereto contained in this annual report. Our financial statements
have been prepared in accordance with U. S. GAAP. The following discussion and analysis may contain forward-looking statements that involve
risks and uncertainties. Our actual results and the timing of selected events could differ materially from those anticipated in these
forward-looking statements as a result of various factors, including those set forth under “ Item 3. Key Information - D. Risk
Factors” and elsewhere in this annual report.

A. OPERATING RESULTS

OVERVIEW

We are a pure-play independent specialty foundry dedicated to providing
wafers and engineering services based on the design specifications of our customers. As a pure-play foundry, we do not offer products
of our own. We currently offer process technology geometries of 0.35, 0.18, 0.16