Company: COHU
Filing Date: 2025-04-02
Form Type: DEF 14A
Source: 0001437749-25-010672
Chunk: 34

Company: COHU INC
Filing Date: 2025-04-02
Form: DEF 14A
Chunk 34
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 will vary depending on our actual performance.

To support our retention objectives, typically the short-term incentive plan provides that an executive officer must be an employee when the incentives for the year are paid. The short-term incentive plan provides that the Compensation Committee has the discretion to decrease, but not increase, any incentives paid under the plan, even if the applicable performance objectives have been achieved. Historically, incentives have been payable in cash unless an executive officer elects to defer all or part of his or her incentive into the Cohu, Inc. Deferred Compensation Plan.

On February 6, 2024, the Compensation Committee adopted the short-term incentive plan for 2024 (the “2024 STI”). The 2024 STI was adopted pursuant to the Cohu 2005 Equity Incentive Plan (the “2005 Plan”).

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Target Short-Term Incentive Opportunities

For purposes of the 2024 STI, our CEO made recommendations to the Compensation Committee with respect to target short-term incentive opportunities (expressed as a percentage of base salary) for each of our executive officers, including our NEOs (except with respect to his own target short-term incentive opportunity). The maximum payout level was 200% of the target award. The target short-term incentive opportunities approved by the Compensation Committee for our NEOs, and the range of potential incentives as a percentage of base salary, were as follows and remained unchanged from 2023 target short-term incentives opportunities:

| Named Executive Officer | 2024 Target Short-Term Incentive 
 Opportunity                      | Range of Possible 2024    
 Short-Term Incentive as   
 Percentage of Base Salary |
| Luis A. Müller          | 110%                             | 0% - 220%                 |
| Jeffrey D. Jones        | 75%                              | 0% - 150%                 |
| Christopher G. Bohrson  | 75%                              | 0% - 150%                 |
| Thomas D. Kampfer       | 50%                              | 0% - 100%                 |

Performance Measures

For purposes of the 2024 STI, the Compensation Committee selected two financial performance measures for our executive officers which were unchanged from 2023:

| • | Sales growth based on a four-year rolling sales growth target; and |

| • | Profitability based on a non-GAAP pre-tax income target. |

The Compensation Committee selected these two performance measures because we continue to believe